A tariff is a tax imposed by a government on goods and services imported from other countries that serves to increase the price and make imports less desirable, or at least more expensive, relative to domestic goods and services. Recently, President Trump imposed a 25% tariff on goods from Canada and Mexico. Now, the Trump administration is signaling a possible compromise. - Commerce Secretary Howard Lutnick indicated that President Trump is considering tariff relief for Canada and Mexico. - The potential tariff relief follows the recent imposition of 25% tariffs on imports from both Canada and Mexico. - The Trump administration's shift comes after concerns about potential price increases for consumers and retaliatory measures from Canada and Mexico. - The auto sector is one area that could potentially receive a reprieve from the tariffs. - An announcement regarding the tariff situation with Canada and Mexico is expected soon.