Auto stocks rise as Trump exempts some automakers from tariffs

Shares of U.S. automakers recover ground after selloff in Tuesday's session

President Donald Trump agreed to a one-month delay on tariffs for some vehicles built in North America as long as they comply with the terms of an existing free trade agreement, the White House said on Wednesday

Trump held a call with CEOs of General Motors GM.N and Ford F.N and the chair of Stellantis STLAM.MI to discuss the potential of delaying tariffs on North American-built vehicles by 30 days, two sources told Reuters earlier

General Motors GM.N up 7.4%, Ford Motor F.N rises 5.2%, Tesla TSLA.O up 2%

On Tuesday, GM dropped 4.6%, Ford lost 2.9% and Tesla fell 4.4%

Tariffs could hike vehicle prices as much as 25%, trade group representing major automakers warned on Tuesday

Index of S&P 500 automobile companies .SPLRCAUTO has lost 31% YTD as worries about U.S. tariffs have weighed on the sector