President Donald Trump is about to ease up barely on the automotive trade this week. After being warned that his trade war will lead to hiked prices and fewer automobiles being constructed, authorities officers over the previous two days have signaled that Trump will signal an government order as we speak that may mitigate a few of the ache the 25 % import tariffs will inflict.

Trump’s method to tariffs has been nothing if not inconsistent. On this case, the White Home shouldn’t be dropping the 25 % tariff on all imported automobiles, however the different tariffs imposed by the Trump administration—just like the 25 % tariff on metal and aluminum that went into impact in February—will not stack up on high.

The potential for a number of tariffs to have an additive impact on costs may have seen new automobile costs soar within the coming weeks; now, they’re more likely to simply rise loads as a substitute. In accordance with The Wall Street Journal, the transfer will probably be retroactive, and automakers who’ve (for instance) paid aluminum or metal tariffs on high of the automobile import tariff can search a refund for the previous.

A separate 25 % tariff on imported automobile elements is about to enter impact on Saturday. These are nonetheless deliberate to enter impact, however importers will be capable of apply for small reimbursements—as much as 3.75 % of the worth of a US-made automobile for a yr, then 2.5 % of the automobile’s worth for the second yr.

How straightforward the federal government will make the reimbursement course of, and the place that cash will come from, has but to be made clear.