President Donald Trump will sign an executive order Tuesday that aims to soften the blow of new tariffs on auto parts by offering an offset to automakers that finish their cars in the U.S., according to White House officials.
The officials also said the administration would leave its 25 percent tariff on imported vehicles and parts in place, but would tweak the language to make sure importers don’t pay a levy on both imported steel or aluminum, and on parts.
The tariff offset would be available for two years to encourage the carmakers to build or expand plants in the U.S., the officials said on a call with reporters. One official said the offset would create tens of thousands of jobs in the U.S. industry.
