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Tariffs on cars from Mexico and Canada delayed by one month

Tariffs on cars from Mexico and Canada delayed by one month

CNN
Wednesday, March 05, 2025 07:20:33 PM UTC

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.

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 April 2. 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’s decision to grant the extension comes ahead of his plan for reciprocal tariffs across the globe, which are set to be announced on April 2. 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.

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