Washington, 6 March 2025 (dpa/MIA) - The US government has granted a one-month reprieve for US car manufacturers in the tariff dispute with neighbours Mexico and Canada.

President Donald Trump has spoken to the three major US car manufacturers - General Motors, Ford and Stellantis - his spokeswoman Karoline Leavitt told reporters.

"We are going to give a one-month exemption an any autos coming through USMCA," she said.

The USMCA is the North American Free Trade Agreement signed by the US, Mexico and Canada during Trump's first term.

"At the request of companies associated with the USMCA, the president is giving them an exemption for one month so they are not at an economic disadvantage," added Leavitt.

Tariffs announced by Trump on goods from Mexico and Canada came into force on Tuesday. Duties of 25% now apply to goods from Canada and Mexico that are imported into the US. Canada has hit back with its own tariffs and Mexico will make an announcement on Sunday.

Photo: EPA