U.S. considers pausing auto tariffs

The United States may temporarily pause tariffs previously imposed on the automobile sector, AP reported on Tuesday.

The move considers automakers need for time to shift production to the U.S., said the report.

The financial market has been greatly impacted by the U.S. tariff policies, and the recent policy changes have fueled a sense of uncertainty and confusion about U.S. policymaker's intentions and end goals, according to the report.

It may also lead to a possible recession of the world economy, with Wall Street economists expressing deep concern, the report said.

U.S. automobile professionals realize that broad tariffs on auto parts could undermine the development of the American auto industry, according to Matt Blunt, president of American Automotive Policy Council.

It takes time to adjust the supply chains for U.S. carmakers, according to Blunt, who leads the association representing Ford, General Motors and Stellantis.

The tariff policies issued by the U.S. have caused damage to consumer, business, and market confidence, which could already be irreversible, according to Carl Tannenbaum, chief economist for the Northern Trust global financial firm as reported by AP.