The White House recently issued a Presidential Proclamation that directly impacts Class 8 fleet managers and vehicle acquisition strategy. The order, signed on October 17, 2025, establishes a 25 percent ad valorem duty on imported medium- and heavy-duty vehicles (MHDVs), including most Class 8 trucks. This significant action is scheduled to take effect on November 1, 2025. This policy stems from a Section 232 investigation, which concluded that reliance on foreign-assembled trucks and parts threatens United States national security.

Consequently, this new tariff aims to strengthen domestic manufacturing capacity and supply chain resilience. The Secretary of Commerce found that the U.S. suffers a 50 percent import penetration in the Class 8 segment, a dependency deemed unsustainable for critical infrastructure. Therefore, fleet managers should immediately assess their long-term procurement plans, especially those relying on foreign-sourced equipment.

Understanding the Financial Impact

The 25 percent duty applies not only to complete imported trucks but also to specific key medium- and heavy-duty vehicle parts (MHDVPs). Moreover, the Section 232 report highlighted reliance on foreign suppliers for critical components like engines, batteries, and transmission shafts. A disruption of these imports could strain the ability to maintain the nation’s vast freight movement capability, which the Department of Transportation considers vital. This threat drove the administration’s decision to include parts in the tariff structure.

In addition, the proclamation seeks to offset some financial strain for domestic manufacturers. Specifically, companies that assemble MHDVs in the United States may be eligible to receive an import adjustment offset equal to 3.75 percent of the aggregate value of their U.S.-assembled vehicles. This incentive encourages increased United States-based production of trucks and essential components; furthermore, the administration intends to stabilize the U.S.-produced market share at approximately 80 percent.

Strategic Planning for Fleet Managers

However, the immediate cost for imported units will rise dramatically. The complexity of global trade rules means tariffs can sometimes apply even to vehicles from countries with favorable trade agreements, like some USMCA partners, depending on the non-U.S. content valuation. Fleet managers must understand the details of the proclamation, which you can read in full here: White House Proclamation on Adjusting Imports.

Consequently, fleet leaders should consult with their dealers and financial advisors now to discuss existing orders and price protection. Analyze your current inventory and maintenance schedules to determine which essential parts might soon face the 25% duty, prompting a review of your inventory management strategy. Finally, staying informed about evolving trade policies is crucial for mitigating risks to your capital expenditure budgets. Organizations like the American Trucking Associations continue to monitor and report on the broader industry reaction and potential market shifts this policy will generate.

Also read: Asset Tracking isn’t just for trucks