Tariffs

Trump Issues 1-Month Pause on Canada, Mexico Auto Tariffs

According to the White House, Trump told the "Big Three" automakers they should move production to the U.S from Canada and Mexico.

March 5, 2025

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Following a meeting between Trump and executives at three major automakers, the White House said the administration will grant all automakers a one-month exemption from tariffs he imposed on imports from Mexico and Canada.

Free Feb. 27 MDM Webcast: Tariff Watch – Implications and Strategies for Distributors” – View on-demand upon registration

A glimpse of the power of disruption to just the “Big Three” Detroit-based automakers (Ford, General Motors and Stellantis) alone was shown in 2023 when the union employees at the automakers went on strike. That six-week-long strike impacted 28 parts distribution centers and seven assembly plants in 22 states and hamstrung U.S. factory output.

According to an AP report citing the White House press secretary, Trump told the automaker’s executives that they should move production to the U.S from Canada and Mexico.

“Trump is also open to additional tariff exemptions such as those he granted to carmakers,” the Wall Street Journal reported.

Dive Deeper: How Will Trump Tariffs Impact Demand & Margins? Here’s What Distributors Told Us (Premium)

Research: Distributors Likely to Shift Sourcing Domestically Within 3 Years (Premium)

(Photo from Ford)

Vesna Brajkovic

Senior Editor

Vesna Brajkovic was a business journalist and the Senior Editor of Modern Distribution Management (MDM), the editorial and research department of NAW until October 2026. She joined MDM’s editorial team in 2023 after covering transportation and related industries as a trade magazine editor for seven years. At MDM, she provides in-depth market analysis and insights for the wholesale distribution sector through Premium-member content, including through articles, podcasts, research reports and more. She also serves as a co-host of the MDM Podcast and a moderator at NAW events and webinars.

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