A senior White House official said President Donald Trump will take action to mitigate the impact of his tariffs on U.S. automakers.

"This deal is a major victory for the president's trade policy," Commerce Secretary Howard Lutnick said in a statement to Reuters news agency.

The president will announce some import tariff measures to reduce parts used in vehicles produced in the United States.

In addition, while cars manufactured abroad will still be subject to vehicle tariffs, those taxes like steel and aluminum products will not be subject to further levy.

Trump will hold a rally in Michigan on Tuesday to commemorate the first 100 days of his tenure.

The state is a network of three so-called Detroit automakers – Ford, General Motors (GM) and Stellantis – and more than 1,000 major suppliers in the industry.

Trump placed tariffs at the center of his economic plan and described it as "the most beautiful word in the dictionary."

However, they have triggered turmoil in global financial markets, ignited major uncertainty among businesses and increased fear of the economic slowdown.

The move to mitigate the impact on the automotive industry has been seen as the latest attempt by his administration to show flexibility in policy.

Mary Barra, CEO of GM Welcome to development.

"We thank President Trump for his support for the U.S. automotive industry and the support of the millions of Americans who rely on us," she told the BBC in an emailed statement.

“We appreciate the fruitful dialogue with the President and his administration and look forward to continuing to work together.”

Ford said this appreciates Trump's decision, which will "help mitigate the impact of tariffs on automakers, suppliers and consumers."

"We will continue to work closely with the administration to support the president's vision for the healthy and growing automotive industry in the United States," a statement added.

The automaker said policies to encourage exports and ensure affordable supply chains to boost more domestic growth are “essential.”

"For major vehicle importers, it will be important to match Ford's commitment to build the U.S.," the company said, adding that if they do, the U.S. will see "the unexpected intentions of new gatherings and supplier factories and hundreds of thousands of new jobs."

Stellantis did not immediately respond to a request for comment.

Last week, the U.S. auto industry group called on the president to impose a 25% tariff on imported auto parts.

A letter to his government from a group representing companies such as GM, Toyota and Volkswagen said the tax “will lead to higher prices for consumers’ cars, lower sales at dealers and make repairs and repair vehicles more expensive”.

Trump has previously stated that tariffs will take effect on May 3.