Washington: US officials revealed on Tuesday that the administration of President Donald Trump will move today to mitigate the impact of auto tariffs by easing some duties on foreign-made auto parts and not adding duties on foreign-made cars on top of other duties.

According to National Iraqi News Agency, Commerce Secretary Howard Lutnick stated, “Trump is building an important partnership with both domestic automakers and our great American workers.” The move is seen as a significant development in the president’s trade policy, rewarding companies that manufacture domestically while also providing an opportunity for manufacturers committed to investing in America and expanding their domestic manufacturing.

US automakers had anticipated that Trump would ease auto tariffs ahead of his visit to Michigan, which is home to major US automakers and more than 1,000 major auto suppliers. This decision follows concerns raised by a coalition of US automakers, who warned that imposing a 25% tariff on imported auto parts could lead to lower car sales and higher prices.