File photo. A worker inspects aluminum parts at an auto parts manufacturer. Photo: Mauricio Palos / Bloomberg / Getty Images via CNN Newsource
President Donald Trump has granted an exemption on auto tariffs on Mexico and Canada for one month, White House Press Secretary Karoline Leavitt confirmed Wednesday.
"We spoke with the Big Three auto dealers. We are going to give a one-month exemption on any autos coming through USMCA," Trump said in a statement Leavitt read in a White House briefing. Those dealers included Stellantis, Ford and General Motors.
"He told them they should get on it, start investing, start moving, shift production here to the United States of America, where they will pay no tariff. That's the ultimate goal," she added.
"Reciprocal tariffs will still go into effect on 2 April. But at the request of the companies associated with USMCA, the president is giving them an exemption for one month so they're not at an economic disadvantage."
Trump said in a statement the decision came after speaking with the big three auto dealers. Photo: Brian Snyder/Reuters via CNN Newsource
Trump's decision to grant the extension comes ahead of his plan for reciprocal tariffs across the globe, which are set to be announced on 2 April. Those tariffs will not allow for any exemptions, Leavitt told reporters.
The administration's swift about-face on auto tariffs adds to the trade chaos that has unfolded since Trump took office. Businesses anxious for certainty on the path ahead are still in limbo about finalizing new production plans.
More to come ...
- CNN
