Tariff relief from Trump to car manufactures

Some tariff relief is on the way for car manufactures after President Trump signed an order offering exemptions to certain car and parts tariffs.

The order clarifies that companies already paying tariffs on imported vehicles won't be charged other levies, such as on steel. The US also eased duties on foreign parts.

The climbdown comes after intense lobbying from the car industry, which warned of a huge hit to sales and price hikes for consumers in the face of 25% tariffs on vehicle and parts imports. General Motors (GM) on Tuesday became the latest company to pull its forward guidance, warning of tariff-related uncertainty.

Investors are also focused on US and China tariff tensions amid signs of de-escalation, as Trump sends mixed signals on the state of relations.

Reports emerged last week that China quietly rolled back tariffs on some US semiconductor products, easing pressure on its tech sector, along with certain US pharmaceuticals. Treasury Secretary Scott Bessent said Tuesday that the "onus" was on China to deescalate tensions.

But with 145% tariffs on China now in place for several weeks, cargo shipments have dropped dramatically, with estimates suggesting a 60% decline, per Bloomberg. Experts are warning of coming supply shortages and layoffs in sectors like trucking, logistics, and retail.

Full story Trump tariffs live updates: Automakers get reprieve as Bessent, Lutnick tout deal progress