DETROIT — During midday trading on Monday, shares of several major automakers experienced a notable uptick following President Donald Trump’s remarks indicating his intention to support American car manufacturers.
Trump stated that automakers “need a little bit of time” to transition their production to the United States. This comment came during a meeting with Salvadoran President Nayib Bukele in the Oval Office.
“I’m looking for something to help some of the car companies, where they’re switching to parts that were made in Canada, Mexico and other places, and they need a little bit of time, because they’re going to make them here,” Trump explained. “But they need a little bit of time, so I’m talking about things like that.”
His remarks had a significant impact on stock prices, lifting shares of Ford Motor, General Motors, and Chrysler’s parent company Stellantis between 1% and 4%. Rivian Automotive’s shares also rose by 3%, while Tesla’s shares experienced a decline of around 2%.
Shares of other automakers, including Toyota Motor and Honda Motor, saw modest gains of less than 2% during the same trading session.
These comments from Trump follow his recent imposition of a 25% tariff on imported vehicles, which took effect on April 3.
Although he reduced tariffs on other imports last week and provided exemptions for technology companies like Apple over the weekend, the automotive tariffs remain unchanged.
In response to these tariffs, various automakers have adopted different strategies. Domestic manufacturers, such as Ford and Stellantis, have initiated temporary employee pricing deals, while others like Jaguar Land Rover have halted shipments to the U.S. Hyundai Motor has also pledged not to raise prices for at least two months to alleviate consumer anxiety.
