The United States' tariff policies are set to shock Poland's automobile industry, one of the pillars of the country's economy, according to a Polish expert, who warned the measures will also impact auto production in the U.S. and drive up prices for American consumers.
Wojciech Drzewiecki, President of Poland's IBRM Samar, a data analysis firm specialized in the auto sector, give his assessment of the impact of the tariffs introduced by the Trump administration during an interview with the China Media Group (CMG) on Wednesday.
U.S. President Donald Trump signed an executive order last week imposing a 10-percent "minimum baseline tariff" on all imports, which came one day before his 25-percent tariff on automotive imports took effect on April 3.
Drzewiecki said that as Poland exports a great amount of vehicles to the U.S. market along with other European trading partners, the sweeping tariffs are set to hit Polish auto sector badly.
"It's very important for Polish manufacturers because we provide a lot of components to our partners in Germany, the Slovak Republic and the Czech Republic and they are providing cars directly or exporting cars directly to U.S. market. So, if there will be any collapse of the [export] market, that will for sure influence our manufacturers and our exports will collapse, too," he said. With Poland's auto industry accounting for eight percent of the country's total GDP, according to government estimates, there is concern over the impact of the tariffs.
Drzewiecki explained that since the U.S. only produces about half of the auto parts it needs, the tariffs will impose higher costs on both American auto manufacturers and consumers.
"Only 40 or up to 50 percent of spare parts or components was produced in the U.S., the rest is coming from other countries, also from Europe. So, if there will be influence on the market, we will be also influenced on the local production and the prices for the customers," he said.
While Drzewiecki believes the true intention behind the U.S. tariffs is to address the country's huge trade deficit, he said the effort is not likely to help realize this goal because of the lack of competitiveness of U.S. products on the global market.
"Tariffs are always bad, so, that's not the best solution. If you want to sell more to other countries, you have to be competitive. And the problem with American products was that the product was not competitive, therefore other customers in other countries did not buy those products," he said.
US tariffs set to backfire despite shocks to Poland's auto sector: industry insider
The Iranian government is focusing on public concerns and maintaining stable supplies of essential goods amid recent protests, Iranian President Masoud Pezeshkian said in a televised interview on Sunday.
In the city of Karaj, northwest of the capital Tehran, daily life has largely continued as normal. A video filmed by a local resident on Sunday shows food stores open and grocery shelves fully stocked.
"This is the block near my home, and there are some food stores here. Daily life continues here. Last night we did not see many protests in Karaj. Right now the city is very safe. This is a grocery store close to my home. All the food is available; nothing is in shortage. Here are noodles and different types of beans. Here are dairy products, cheese, and yogurt. I also checked other grocery stores and didn't see any shortages. Everything is available," said local resident Ali Reza.
Iranian officials have described recent disturbances as acts orchestrated by the "enemy," including some carried out by well-trained and armed "terrorists." The incidents have caused casualties among security personnel and civilians, as well as property damage.
The Secretary of Iran's Supreme National Security Council Ali Larijani has directed authorities to severely punish the "terrorists."
Meanwhile, Iran's police chief Ahmad-Reza Radan said on Sunday that the police had raised alert levels and arrested several leaders of the troublemakers during the operations on Saturday.
President Pezeshkian noted in the interview that the normal demands of the Iranian people are reasonable and justified, but they must realize that triggering riots and carrying out terrorist acts are the enemy's attempts to undermine the country. He urged the public to remain vigilant.
Also on Sunday, Iranian Parliament Speaker Mohammad Baqer Qalibaf warned that Tehran would regard U.S. and Israeli bases and facilities in the Middle East as "legitimate targets" if Washington takes military action against Iran. His remarks followed media reports saying U.S. President Donald Trump is "seriously considering authorizing a strike" against Iran.
Iranian state media reported that at least 109 members of Iran's security forces have been killed in clashes since the protests began 14 days ago. Meanwhile, human rights groups based outside the country said the number of protesters killed has exceeded 200, though the figure could not be independently verified.
The protests initially erupted over a sharp depreciation of the rial and sweeping subsidy reforms. Iranian authorities have blamed the unrest on foreign-linked agents and sanctions imposed by the United States.
Iranian president says government focusing on ensuring supplies amid protests
