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Carmakers worry China's tariff retort will stop US factories in days
Factories across the Midwest and the South could soon face shutdowns, automakers and analysts are warning.
But China responded to the auto tariff — and its separate, even higher product levies — by stopping nearly all trade on rare earth magnets.
The magnets are indispensable for modern car production. They're used in dozens of vehicle parts, including brakes, seats, screens, and ignitions.
But more than two decades after domestic magnet-making factories migrated to China, the US now produces almost none.
Without access to Chinese supplies, factories across the Midwest and the South could soon face shutdowns, automakers and analysts are warning.
And US carmakers are running out.