Trump's Tariff Reversal: A Boost for US Auto Industry

President Donald Trump plans to sign an executive order easing some of the 25% tariffs on autos and parts, aiming to bolster US manufacturing. The move is lauded by industry leaders like Stellantis and GM, despite ongoing concerns about the broader economic impact of such tariffs.

In a significant policy shift, President Donald Trump is set to ease his administration's tariffs on autos and auto parts, a move poised to provide relief to domestic manufacturers. The decision follows concerns that the tariffs could inflate prices and undermine the competitiveness of US carmakers.

White House Press Secretary Karoline Leavitt announced the executive order, aiming to safeguard domestic manufacturing jobs and stimulate the auto industry. Treasury Secretary Scott Bessent emphasized the administration's commitment to revitalizing auto production in the US.

Industry leaders, including General Motors and Stellantis, have expressed support for the tariff relief, acknowledging its potential to strengthen the American auto industry. However, economists warn that the broader tariff strategy could still slow economic growth despite the measure's intentions.

(With inputs from agencies.)