Trump Indicates U-Turn on Auto-Tariffs

US President Donald Trump on April 14 hinted at temporarily exempting tariffs on the auto sector which were previously imposed on the sector. The relief is likely to allow carmakers to adjust their supply chains. Speaking to reporters in the Oval Office, Trump said, “I'm looking at something to help some of the car companies with it,” as he added that the car companies “need a little bit of time because they're going to make them in the US.”

What did Trump mean?

The statement indicated a potential reversal of Trump's tariffs from a crucial sector, which has in turn pressured the global financial markets.

Trump softens trade stance?

In the previous week, US President Donald Trump rolled back tariffs by giving a 90-day pause. Later on, he exempted tariffs from electronics.

Trump’s decisions have invited a wave of uncertainty as the S & P 500 stock index inched up slightly during Monday afternoon, but it's still down 9% this year.

Notably, Chinese President Xi Jinping met Vietnam's Communist Party General Secretary To Lam with the message that no one wins in trade wars.