Automakers Have One Month to Prepare for Trump’s Tariffs

Current conditions: A smattering of rainfall did little to contain a massive wildfire raging in Japan • Indonesia is using cloud seeding to try to stop torrential rains that have displaced thousands • At least 22 tornadoes have been confirmed this week across southern states.

THE TOP FIVE

1. Trump delays new tariffs for automakers

The Trump administration said yesterday that automakers will be exempt from the new 25% tariffs on imports from Mexico and Canada – but just for a month. The announcement followed a meeting between administration officials and the heads of Stellantis, GM, and Ford – oh, to be a fly on the wall. As Heatmap’s Robinson Meyer explained, the tariffs are expected to spike new car prices by $4,000 to $10,000, and could hit internal combustion cars even worse than EVs, and prompt layoffs at Ford and GM. “At the request of the companies associated with [the United States-Mexico-Canada Agreement], the president is giving them an exemption for one month so they are not at an economic disadvantage,” Trump said in a statement. Stellantis thanked Trump for the reprieve and said the company “share[s] the president’s objective to build more American cars and create lasting American jobs.” Around 40% of Stellantis cars currently sold in the U.S. are imported from Canada and Mexico.

2. SCOTUS rejects Trump’s attempt to withhold USAID payments

The Supreme Court has rejected President Trump’s request to withhold roughly $2 billion in congressionally-approved payments to the U.S. Agency for International Development for foreign aid work that has already been completed. On his first day back in office, Trump ordered a 90-day pause on all foreign aid so programs could be reviewed to ensure they align with his agenda. The administration then eliminated funding for the majority of USAID’s contracts, including at least 130 that related to climate and/or clean energy. This week’s SCOTUS decision was “a welcome but confusing development for humanitarian and development organizations around the world,” The New York Timesreported, “as they waited to see if thousands of canceled contracts would be restarted.”

3. New EVs from Volkswagen, Volvo, and Cadillac

Speaking of cars, there has been a lot of EV news in the last few days:

Rivian announced plans to expand internationally. CFO Claire McDonough also said the company is working “around the clock” to roll out the new R2, R3, and R3X models, with production for the R2 set to start early next year. She said international expansion plans would kick off after the R2 production ramps up.

Volkswagen unveiled the ID. EVERY1. The concept-car version of its ultra-affordable EV “will be the first to roll out with software and architecture from Rivian,” TechCrunchreported. Production is slated for 2027, and the car will start at around 20,000 euros (or $21,500). No word on a U.S. release, though.

The ID. EVERY1Volkswagen

Volvo showed off the ES90. What is it? Good question. “Some might say it is a sedan,” the company said in its press release. “Others will see a fastback, or even hints of an SUV. We’ll let you be the final judge – all we know is that the new, fully electric Volvo ES90 carves out a new space for itself by eliminating the compromises between those three segments, which puts it in a class of its own.” InsideEVscalled it the company’s “most advanced EV to date,” because it can charge for 186 miles of range in 10 minutes on a fast charger.

Cadillac introduced a very long electric SUV. The electric Escalade IQL will go into production this year. With an overall length of 228.5 inches, it will be the longest SUV, uh, ever. It’ll start at $132,695.

On a related note, Tesla sales continue to plummet worldwide. They were down 76% last month in Germany, with sharp declines across other European countries, too. In Australia, sales were down 72%.

4. Study: Global sea ice at all-time low

Global sea ice levels were at an all-time low last month, according to researchers at the Copernicus Climate Change Service. Arctic sea ice cover was 8% below average in February, the lowest since records began in 1979, and “the third consecutive month in which the sea ice extent has set a record for the corresponding month.” Antarctic sea ice cover was 26% below average. “One of the consequences of a warmer world is melting sea ice, and the record or near-record low sea ice cover at both poles has pushed global sea ice cover to an all-time minimum,” said Samantha Burgess at the European Centre for Medium-Range Weather Forecasts. Melting sea ice contributes to sea level rise and ocean acidification, harms polar ecosystems, and creates a global-warming feedback loop by reducing albedo, which is the Earth’s ability to reflect sunlight back to space.

C3S

5. Cyclone Alfred slows as it approaches land

Forecasters are growing increasingly concerned about Cyclone Alfred, which is swirling off the coast of eastern Australia and is expected to arrive Friday or Saturday as a category 2 storm, or perhaps even a category 3. Alfred will be the first cyclone in 50 years to make landfall in this part of Australia. The storm has slowed as it approaches land, which means it will spend more time over very warm waters, soaking up even more moisture to dump on land. “The northeastern Coral Sea, where Cyclone Alfred formed, experienced the fourth-hottest temperatures on record for February and the hottest on record for January,” a group of climate change researchers wrote at The Conversation. Residents in and around Brisbane have been told to prepare to evacuate.

THE KICKER

American drivers spent more time on the road last year than ever before, logging a record 3.28 trillion miles.