Will a flip-flopping Trump scrap his upcoming auto tariff?

U.S. President Donald Trump, right, speaks during a meeting with El Salvador's President, Nayib Bukele, in the Oval Office of the White House in Washington on April 14. [AP/YONHAP] U.S. President Donald Trump said that he is considering a temporary exemption from tariffs on auto parts to support U.S. carmakers as they adjust their supply chains. He made the remarks on Monday during a meeting with El Salvador’s President, Nayib Bukele, at the White House, where he responded to a question about potential tariff relief. Related ArticleKospi closes up 0.88% on tariff reprieve optimismCar exports up in March on rising demand in Asia, shipments to U.S. down 10%Trump looking to help some auto companies amid tariff concerns “I’m looking at something to help some of the car companies with it,” Trump said, adding that manufacturers are moving production from Canada and Mexico to the United States but need more time to complete the transition. The White House imposed a 25 percent tariff on all imported vehicles on April 3 and plans to extend the tariff to auto components such as engines, transmissions and power trains starting May 3. Trump’s comments suggest that the administration may delay those additional tariffs for now. Ford Motor, General Motors and Stellantis are expected to benefit most from the possible tariff deferral, as they manufacture a significant portion of their United States-bound vehicles at Canadian and Mexican plants. Although Ford produces more than 80 percent of its cars in the United States, it still sources parts from neighboring countries. These companies have reportedly stepped up lobbying efforts in recent weeks to urge the White House to grant auto parts exemptions. Trump’s remarks pushed stock prices sharply higher, signaling market optimism over potential relief. Foreign automakers such as Hyundai and Kia may face a disadvantage if Washington applies exemptions unevenly. New cars for export on a car carrier trailer arrive at a port in Pyeongtaek, Gyeonggi, on April 15. [AP/YONHAP] A source familiar with trade negotiations told the JoongAng Ilbo, an affiliate of the Korea JoongAng Daily, that exclusive support for U.S. firms weakens the justification for encouraging foreign investment in the country and suggested that this approach could generate more controversy than reciprocal tariffs. Trump’s latest statement appeared to reverse his previous hard-line stance, when he declared that “nobody is getting off the hook” from trade penalties. That statement followed U.S. Customs and Border Protection's April 11 decision to exclude smartphones, laptops and other personal electronics from tariff lists, a move that had raised hopes of leniency for Apple. “I speak to Tim Cook, " Trump said when asked whether iPhones might be permanently exempt. “I helped Tim Cook recently. I don't change my mind, but I'm flexible.” Trump also warned of possible action on pharmaceuticals, an industry that so far has seen little public opposition to tariffs. “The more tariffs, the faster companies come back,” he said. Critics argue that the growing list of exemptions undermines the original goal of using tariffs to pressure China. A diplomatic source told the JoongAng Ilbo that the soaring prices of iPhones and cars could lead to both economic backlash and political instability. The source cautioned that exemptions aimed at protecting U.S. companies might provoke retaliatory measures from China. Trump also commented on Chinese President Xi Jinping’s visit to Vietnam, suggesting it was a move to “screw the United States of America.” He widened his criticism to include allies, claiming that the European Union exists “to hurt the United States in trade” and accusing NATO members of shirking defense spending. White House economic adviser Kevin Hassett also expressed concern regarding China’s potential move to restrict rare earth exports on Monday. “Rare earths are a part of lots of the economy,” he said. “The rare earth limits are being studied very carefully, and they’re concerning, and we’re thinking about all the options right now.” Translated from the JoongAng Ilbo using generative AI and edited by Korea JoongAng Daily staff. BY KANG TAE-HWA [[email protected]]

Will a flip-flopping Trump scrap his upcoming auto tariff? Published: 15 Apr. 2025, 17:04 Updated: 15 Apr. 2025, 17:12 Audio report: written by reporters, read by AI U.

S. President Donald Trump, right, speaks during a meeting with El Salvador's President, Nayib Bukele, in the Oval Office of the White House in Washington on April 14. [AP/YONHAP] U.

S. President Donald Trump said that he is considering a temporary exemption from tariffs on auto parts to support U.S.

carmakers as they adjust their supply chains. He made the remarks on Monday during a meeting with El Salvador’s President, Nayib Bukele, at the White House, where he responded to a question about potential tariff relief. Related Article Kospi closes up 0.

88% on tariff reprieve optimism Car exports up in March on rising demand in Asia, shipments to U.S. down 10% Trump looking to help some auto companies amid tariff concerns “I’m looking at something to help some of the car companies with it,” Trump said, adding that manufacturers are moving production from Canada and Mexico to the United States but need more time to complete the transition.

The White House imposed a 25 percent tariff on all imported vehicles on April 3 and plans to extend the tariff to auto components such as engines, transmissions and power trains starting May 3. Trump’s comments suggest that the administration may delay those additional tariffs for now. Ford Motor, General Motors and Stellantis are expected to benefit most from the possible tariff deferral, as they manufacture a significant portion of their United States-bound vehicles at Canadian and Mexican plants.

Although Ford produces more than 80 percent of its cars in the United States, it still sources parts from neighboring countries. These companies have reportedly stepped up lobbying efforts in recent weeks to urge the White House to grant auto parts exemptions. Trump’s remarks pushed stock prices sharply higher, signaling market optimism over potential relief.

Foreign automakers such as Hyundai and Kia may face a disadvantage if Washington applies exemptions unevenly. New cars for export on a car carrier trailer arrive at a port in Pyeongtaek, Gyeonggi, on April 15. [AP/YONHAP] A source familiar with trade negotiations told the JoongAng Ilbo, an affiliate of the Korea JoongAng Daily, that exclusive support for U.

S. firms weakens the justification for encouraging foreign investment in the country and suggested that this approach could generate more controversy than reciprocal tariffs. Trump’s latest statement appeared to reverse his previous hard-line stance, when he declared that “nobody is getting off the hook” from trade penalties.

That statement followed U.S. Customs and Border Protection's April 11 decision to exclude smartphones, laptops and other personal electronics from tariff lists, a move that had raised hopes of leniency for Apple.

“I speak to Tim Cook, " Trump said when asked whether iPhones might be permanently exempt. “I helped Tim Cook recently. I don't change my mind, but I'm flexible.

” Trump also warned of possible action on pharmaceuticals, an industry that so far has seen little public opposition to tariffs. “The more tariffs, the faster companies come back,” he said. Critics argue that the growing list of exemptions undermines the original goal of using tariffs to pressure China.

A diplomatic source told the JoongAng Ilbo that the soaring prices of iPhones and cars could lead to both economic backlash and political instability. The source cautioned that exemptions aimed at protecting U.S.

companies might provoke retaliatory measures from China. Trump also commented on Chinese President Xi Jinping’s visit to Vietnam, suggesting it was a move to “screw the United States of America.” He widened his criticism to include allies, claiming that the European Union exists “to hurt the United States in trade” and accusing NATO members of shirking defense spending.

White House economic adviser Kevin Hassett also expressed concern regarding China’s potential move to restrict rare earth exports on Monday. “Rare earths are a part of lots of the economy,” he said. “The rare earth limits are being studied very carefully, and they’re concerning, and we’re thinking about all the options right now.

” Translated from the JoongAng Ilbo using generative AI and edited by Korea JoongAng Daily staff. BY KANG TAE-HWA [ [email protected] ] var admarutag = admarutag || {} admarutag.cmd = admarutag.

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