President Trump announced a one-month exemption from tariffs on cars on Canada and Mexico on Wednesday following a meeting with three major US automakers.
Trump spoke with leaders from Ford, General Motors and Stellantis following the imposition of a 25% tariff on all imports from Mexico and Canada on Tuesday.
Following these debates, Trump said in a statement read by White House spokesman Karoline Leavitt that the administration is offering a month's exemption to automakers associated with it. US-Mexico-Canada Trade Agreement (USMCA), Trump signed during his first term.
The exemption applies to Ford, General Motors, Stellantis and other companies with production facilities in three North American countries.
When asked if other sculptures would come, Leavitt said Trump “can hear about the additional exemption.”
The one-month delay expires in early April, when Trump committed to impose mutual tariffs on all other countries tasked with American goods.
Trump on Tuesday imposed a 25% tariff on imports from Canada and Mexico, and an additional 10% tariff on Chinese goods. He cited his frustration over the flow of fentanyl to the US, but experts have noticed that relatively few fentanyl enters the country through the northern border.
The move sparked protests, particularly from Canada, with Prime Minister Justin Trudeau calling Trump's actions “very stupid.” Both Canada and Mexico have vowed to retaliate, sparking fears of a broader trade war.
Trump spoke with Trudeau on Wednesday, but he again insisted that Canada wasn't doing enough to stop the fentanyl flow.
Wednesday's adjustment is the latest example of Trump's tariff movements beginning to adapt, bringing confusion among businesses and foreign leaders about what to expect. He offered shift deadlines for the time when tariffs would be imposed, setting ambiguous standards for how the state would avoid tariffs imposed after the fact and adjusted tariffs.
