Ford, GM And Stellantis Stocks Climb On Report Of Tariff Relief

Shares of Detroit's Big Three automakers ticked higher on Friday, after a report said President Donald Trump is considering significant tariff relief that could ease billions in costs for domestic manufacturers.

Trump Weighs Tariff Relief For Automakers

Republican Sen. Bernie Moreno (R-Ohio), a former car dealer who sits on the Senate Commerce Committee, said Trump may extend and expand existing tariff offsets to reward automakers with final assembly operations in the U.S., according to a report from Reuters.

"The signal to the car companies around the world is look, you have final assembly in the U.S.: we're going to reward you," Moreno told the publication.

He added that Ford Motor Co. (NYSE:F), Toyota Motor Corp (NYSE:TM), Honda Motor Co. Ltd. (NYSE:HMC), Tesla Inc. (NASDAQ:TSLA), and General Motors Co. (NYSE:GM) would all benefit as top producers of U.S.-made vehicles.

Shares of Detroit-based automakers, known as the Big Three, rose, with Ford gaining 3.68%, General Motors up 1.30% and Chrysler parent Stellantis N.V. (NYSE:STLA) climbing 3.7% on Friday, according to Benzinga Pro.

Trump Considers Extending And Expanding Auto Import Offset

In June, the Commerce Department announced an import adjustment offset of 3.75% of the suggested retail price for qualifying U.S.-assembled vehicles, effective through April 2026, followed by a second year at 2.5%, aimed at mitigating tariffs on imported auto parts.

According to Moreno and other auto officials, Trump is reportedly weighing maintaining the 3.75% offset, extending the credit period to five years, and broadening the program to include U.S. engine production, Reuters reported.

A White House official also told the publication that the administration remains "committed to a nuanced and multi-faceted approach to securing domestic auto and auto parts production," but said that any policy discussion remains speculative until signed by the president.

What Are Industry Challenges And Debates

Trump imposed sweeping 25% tariffs in May on more than $460 billion worth of vehicles and auto parts, while also raising steel and aluminum duties on $240 billion worth of imports, including essential EV components.

Automakers have been pushing back on the costs. Ford CEO Jim Farley earlier this week warned the new tariffs could represent a $2 billion headwind, calling them a "really big deal" that risks restricting future investment.

Last week, Trump unveiled a series of new tariffs targeting pharmaceuticals, heavy trucks, and home furnishings.

By contrast, GM CEO Mary Barra and Stellantis CEO Antonio Filosa have publicly backed Trump's broader tariff strategy earlier in the year, saying it helps level the playing field against foreign subsidies and encourages U.S. job creation.

Ford ranks strong in Momentum and Value on Benzinga's Edge Stock Rankings, showing a positive price trend across short, medium, and long-term horizons. Click here for deeper insights on the stock, its competitors, and the wider industry.