WASHINGTON — The White House granted a one month-exemption to any tariffs on cars coming into the U.S. from Canada and Mexico, White House Press Secretary Karoline Leavitt announced on Wednesday.
Leavitt said that President Trump had met with the leaders of the “Big Three” automakers, including Ford, General Motors and Stellantis, and decided the exemption would apply to any U.S. automakers associated with the United States-Mexico-Canada Agreement.
“At the request of the companies associated with the USMCA, the president is giving them an exemption for one month so they are not at an economic disadvantage,” said Leavitt, reading off a statement prepared by Trump.
Wednesday’s announcement was a sign of Trump’s attempts to balance his commitment to tariffs with his determination to help U.S. industries. Leavitt also said the White House was “open” to hearing requests from other industries seeking tariff exemptions.
The development comes a day after Trump announced 25% tariffs on imports from Mexico and Canada had begun. Any trade-related tariffs for those automakers will eventually go into effect on April 2, Leavitt announced.
The message from the White House was to have all automakers relocate their production into the U.S., Leavitt said.
“They should get on it, start investing, start moving, shift production here to the United States of America, where they will pay no tariffs,” Leavitt.
Leavitt also doubled down on the White House’s recent decision to raise tariffs on imports from China to 20%, blaming the country for failing to address the flow of fentanyl into the U.S. through illicit channels.
“Of course, the country that is getting very rich off of distributing this deadly poison to American citizens is going to say that,” Leavitt said. “This is the number one leading cause of death in our country, and there needs to be action taken to ensure that that cannot continue.”
China’s Ministry of Foreign Affairs Tuesday released a statement pushing back against the new round of tariffs, saying it is prepared for “any war” with the U.S. In retaliation, China has imposed a 15% tariff on American agricultural goods.
