President Donald Trump granted a one month exemption on tariffs on imports from Mexico and Canada for U.S. automakers on Wednesday. But the industry will seemingly have to face the tariffs eventually,

President Donald Trump's promise to place tariffs on Canada and Mexico could hurt automakers, including Tesla Inc (NASDAQ:TSLA). What Happened: On Thursday, Trump postponed plans to place tariffs on goods imported from Canada and Mexico until April.

US companies Harley-Davidson and Tesla, despite President Trump's push for lower Indian import duties, prefer manufacturing outside the US. Harley imports its bikes from Thailand, and Tesla will ship its cars from Germany due to locational advantages and economies of scale.