Al Mayadeen English

  • Ar
  • Es
  • x
Al Mayadeen English

Slogan

  • News
    • Politics
    • Economy
    • Sports
    • Arts&Culture
    • Health
    • Miscellaneous
    • Technology
    • Environment
  • Articles
    • Opinion
    • Analysis
    • Blog
    • Features
  • Videos
    • NewsFeed
    • Video Features
    • Explainers
    • TV
    • Digital Series
  • Infographs
  • In Pictures
  • • LIVE
News
  • Politics
  • Economy
  • Sports
  • Arts&Culture
  • Health
  • Miscellaneous
  • Technology
  • Environment
Articles
  • Opinion
  • Analysis
  • Blog
  • Features
Videos
  • NewsFeed
  • Video Features
  • Explainers
  • TV
  • Digital Series
Infographs
In Pictures
  • Africa
  • Asia
  • Asia-Pacific
  • Europe
  • Latin America
  • MENA
  • Palestine
  • US & Canada
BREAKING
Israeli media: Missiles launches from iran were detected.
The chief of staff of the Iranian armed forces: The operations carried out thus far serve as a warning and deterrence. The punitive operations will be carried out soon.
Islamic Revolution Guard Corps: The tenth wave of missile attacks targeted the launch point of the Israeli regime's fighter jets.
Iranian media: Iranian cybersecurity teams are repelling the attacks.
Iranian media: "Israel" waged a major cyberattack on Iran's digital infrastructure.
Iranian TV: The new wave included missiles and drones and was launched from several areas.
Iranian TV: The tenth wave of Operation True Promise 3 against the occupying entity has begun.
The US-supplied THAAD air defense system is participating in the interception of Iranian missiles.
Israeli media says some 10 missiles detected from Iran.
Four Israeli settlers wounded on their way to bomb shelters, as per the Magen David Adom.

Trump to reduce impact of auto tariffs, US commerce secretary says

  • By Al Mayadeen English
  • Source: Agencies
  • 29 Apr 2025 09:22
  • 1 Shares
4 Min Read

Amid supply chain warnings from automakers, the Trump administration has moved to ease auto tariffs by reimbursing duties and preventing overlapping levies.

Listen
  • x
  • A grill on a GMC Sierra Heavy Duty Denali HD 2500 truck on display at the Pittsburgh International Auto Show in Pittsburgh, Feb. 15, 2024 (Gene J. Puskar/AP)
    A grill on a GMC Sierra Heavy Duty Denali HD 2500 truck on display at the Pittsburgh International Auto Show in Pittsburgh, Feb. 15, 2024 (AP)

The Trump administration will ease auto tariffs on Tuesday by reducing duties on foreign parts used in US-made cars and preventing overlapping tariffs on imported vehicles, officials said.

"President Trump is building an important partnership with both the domestic automakers and our great American workers," Commerce Secretary Howard Lutnick said in a statement provided by the White House.

"This deal is a major victory for the President's trade policy by rewarding companies who manufacture domestically while providing runway to manufacturers who have expressed their commitment to invest in America and expand their domestic manufacturing.”

The Wall Street Journal reported that automakers paying tariffs won’t face additional levies like those on steel and aluminum and will be reimbursed for any already paid.

Automakers expected tariff relief ahead of Trump’s Michigan trip, home to the Detroit Three and over 1,000 key auto suppliers.

GM CEO Mary Barra and Ford CEO Jim Farley praised the move. "We believe the president’s leadership is helping level the playing field for companies like GM and allowing us to invest even more in the US economy," Barra said.

The tariff relief reflects growing flexibility amid market turmoil and economic uncertainty caused by the administration’s trade policies.

Impact of tariffs on automakers, suppliers and consumers diminishes

Farley said the changes "will help mitigate the impact of tariffs on automakers, suppliers and consumers." Last week, US auto groups urged Trump to drop plans for 25% tariffs on imported parts, warning of higher prices and lower sales. Trump had previously said he would impose the tariffs by May 3.

"Tariffs on auto parts will scramble the global automotive supply chain and set off a domino effect that will lead to higher auto prices for consumers, lower sales at dealerships and will make servicing and repairing vehicles both more expensive and less predictable," the industry groups said in the letter.

The letter, signed by groups representing GM, Toyota, Volkswagen, Hyundai, and others, was sent to US Trade Representative Jamieson Greer, Treasury Secretary Scott Bessent, and Commerce's Lutnick.

"Most auto suppliers are not capitalized for an abrupt tariff-induced disruption. Many are already in distress and will face production stoppages, layoffs and bankruptcy," the letter added, noting that "it only takes the failure of one supplier to lead to a shutdown of an automaker's production line."

The impact 

Trump had argued that the tariffs will lead to more US factory openings, but industry leaders warn that uncertainty and rising costs could disrupt production planning and profitability.

Last month, the Associated Press (AP) reported that shares of major automakers fell sharply following Trump’s announcement of 25% tariffs on auto imports, which took effect on April 3. If the tariffs persist, they are expected to significantly increase production costs for companies that rely on international supply chains, as parts and assembly processes often cross multiple borders within North America.

General Motors, which sources about 40% of its US vehicle sales from Mexico and Canada, saw its shares drop at the time to 7.4%, with analysts suggesting it could be among the hardest hit. Ford, with a smaller share of non-US production, had slipped 3.9%, while Honda and Toyota’s US-traded shares had dropped 2.2% and 2.5% respectively. 

Auto parts suppliers had also taken a hit: Autoliv declined 3.5%, Aptiv 5.4%, Gentex 3.6%, and Lear 8.3%. Industry analysts and economists voiced concern that the tariffs could fuel inflation, which has already been driven up by record-high car prices and rising costs for insurance and repairs. As of February, the average new vehicle price stood at $48,039, just shy of the late 2022 record.

At the time, GM CFO Paul A. Jacobson said the company is weighing long-term plant allocation and investment decisions in case the tariffs become permanent.

  • US Trade Representative
  • hyundai
  • Volkswagen
  • General Motors
  • Trump
  • toyota
  • US Commerce Secretary
  • Auto Tariffs
  • Michigan

Most Read

Iranian missiles impact Israeli sites in Tel Aviv in 2nd wave

Iran's missiles impact 'strategic' Israeli site in Tel Aviv

  • Politics
  • 14 Jun 2025
Bin Salman: Islamic world backs Iran in call to Pezeshkian

MBS says Islamic world backs Iran in call with Pezeshkian

  • MENA
  • 15 Jun 2025
Iran launches 9th wave of Op. True Promise 3, destroys IOF air defense

Iran launches 9th wave of Op. True Promise 3, destroys IOF air defense

  • MENA
  • Today
Smoke rises after an Iranian ballistic missile directly struck Tel Aviv, Occupied Palestine, June 13, 2025 (AP)

Op. True Promise 3: Iran's ballistic missiles strike Tel Aviv

  • MENA
  • 13 Jun 2025

Coverage

All
The Ummah's Martyrs

Read Next

All
In this photo released by the Iranian Red Crescent Society rescuers work at the scene of an explosion after an Israeli strike in Tehran, Iran, Friday, June 13, 2025. (Iranian Red Crescent Society via AP)
Politics

‘Israel’ targets civilians in Tehran; most victims are kids

France's President Emmanuel Macron arrives during the official welcome of the G7 Summit, Monday, June 16, 2025, in Kananaskis, Canada. (AP)
Politics

Macron warns West regime change in Iran would be 'strategic error'

Trump hints at escalation: G7 exit ‘much bigger’ than Iran ceasefire
Politics

Trump says G7 exit denotes something 'much bigger' than Iran ceasefire

A group photo of the G7 Summit, Monday, June 16, 2025, in Kananaskis, Canada (AP Photo/Mark Schiefelbein)
MENA

G7 sides with aggressor, says 'Israel' has 'right to defend itself'

Al Mayadeen English

Al Mayadeen is an Arab Independent Media Satellite Channel.

All Rights Reserved

  • x
  • Privacy Policy
  • About Us
  • Contact Us
  • Authors
Android
iOS