The U.S. auto industry, a key pillar of manufacturing and consumer spending, is facing significant headwinds in 2025, serving as a canary in the coal mine for broader economic vulnerabilities. While short-term sales have seen an unexpected uptick due to consumer fears over impending policy changes, underlying issues like tariffs, high interest rates, and softening demand point to weakening consumer confidence, strained supply chains and potential recessionary pressure in goods-producing sectors. Key Struggles in the Auto Industry: Tariff Pressures and Cost Increases: Newly imposed 25% tariffs on imported vehicles and ... (full story)