The United States postpones tariffs for one month on cars imported from Canada and Mexico

WashingtonThe White House has announced that it will postpone tariffs for the three major US car manufacturers for one month after the 25% tariffs on imports from Mexico and Canada came into effect on Tuesday. Press Secretary Karoline Leavitt confirmed this during the daily press conference on Wednesday. "We will give a one-month exemption for cars that come through the USMCA [the free trade agreement between Canada, Mexico and the US]," said Leavitt, who also stressed that reciprocal tariffs will remain in place until April 2.

The exemption comes after the three major car manufacturers, Ford, General Motors and Stellantis, asked the US president to reconsider the measure. In fact, Leavitt has also assured that Trump is "open" to dialogue and listening to other requests to apply exemptions to the tariffs. Hours before granting the waiver to prevent major damage to a key sector of the U.S. economy, Trump defended the tariffs as a way to "make America rich and great again." While the president's words are one thing, his actions are another.

The exception for the U.S. auto sector comes just after Commerce Secretary Howard Lutnick said Tuesday on Fox that tariffs on Canada and Mexico could be revoked as of Wednesday. Despite granting a month's grace, Leavitt said today that the tariffs on vehicles will go into effect on April 2, when reciprocal tariffs will also be applied in other countries, such as Europe. "The president is giving them a one-month exemption so that they are not at an economic disadvantage," the press secretary said.

In principle, the exemption would also benefit some foreign-brand car manufacturers with a large production presence in the United States, such as Honda and Toyota, but some competitors that do not meet the criteria of the USMCA (the current free trade agreement between the US, Canada and Mexico) would have to pay the 5 American tariffs.

The taxes on Mexican imports were expected to have a major impact on the US automotive industry. Many American car companies manufacture their cars in Mexico or in other countries to reduce costs. In fact, the manufacture of American cars on Mexican territory is possible thanks to a trade agreement negotiated by Trump during his previous presidency.

"All car manufacturers will be affected by these tariffs in Canada and Mexico. Most expect the price of some vehicle models to increase by up to 25% and that the negative impact on the price and availability of vehicles will be felt almost immediately," said John yesterday.

When the tariffs came into effect yesterday, there were already falls in US stock indices such as the Dow Jones and the Nasdaq. The dollar has hit three-month lows on Wednesday and the downward trend in US stock markets continues.