NEW YORK, April 29, 2025 (BSS/AFP) - US President Donald Trump has agreed to soften the impact of tariffs on automakers who have been hit by multiple levies, US media reported on Monday.

The move comes ahead of a Trump rally planned for Tuesday night near Detroit to mark the president's first 100 days in office.

The shift means companies paying 25 percent tariffs on car imports won't also pay other duties, such as those on steel and aluminum, according to The Wall Street Journal, which was first to report the shift.

The administration is also allowing some reimbursements on foreign auto parts, levies that were supposed to take effect on May 3, said the Journal, citing unnamed sources.

US automakers have been among the hardest-hit sectors because the tariffs affect imports from Mexico and Canada.

Detroit carmakers maintained investments in those markets after Trump renegotiated the North American Free Trade Agreement during his first term.

Analysts have warned that the tariffs could result in higher prices, denting US car sales and threatening jobs.

Commerce Secretary Howard Lutnick said Trump was "building an important partnership," according to the Journal.

"This deal will be a major victory for the president's trade policy by rewarding companies who are already manufacturing domestically, while providing a runway to manufacturers who have expressed their commitment in investing in America and expanding domestic manufacturing," Lutnick said.

US automakers welcomed the change.

"We're grateful to President Trump for his support of the US automotive industry and the millions of Americans who depend on us," said General Motors Chief Executive Mary Barra.