By Elias Schisgall
Shares for carmakers rose following President Trump's decision to call off tariffs on eight European nations following his meeting on Greenland with North Atlantic Treaty Organization Secretary General Mark Rutte.
Foreign car producers saw substantial gains after the announcement. Stellantis rose 6% to $9.92 a share, Volkswagen's American Depositary Receipts were up 5% to $11.90, Mercedes Benz's ADRs were up 3.6% to $17.10, and Ferrari went back into the green, up 1.2% to $341.57.
Domestic car stocks also rose, with Tesla up 2.9% to $431.44, General Motors rising 3.8% to $80.79, Ford up 3.4% to $13.74, and Rivian up 1.7% to $16.44 as of Wednesday afternoon.
Trump said in a Truth Social post that he and NATO's Rutte reached a framework for a deal over Greenland and the Arctic region.
"Based upon this understanding, I will not be imposing the tariffs that were scheduled to go into effect on Feb. 1," Trump wrote in the post.
The president had threatened to impose tariffs on Denmark, the United Kingdom, Germany, the Netherlands, Finland, Sweden, France, and Norway if no Greenland deal was reached. The tariffs would have begun at 10%, and Trump said he would have raised them to 25% in June without a deal.
Write to Elias Schisgall at elias.schisgall@wsj.com
(END) Dow Jones Newswires
01-21-26 1612ET
