According to CoinMeta, the United States and Canada are working to resolve their differences over potential reductions in car tariffs. Three sources revealed that U.S. car tariffs could be lowered from the current 25% to 15% (after deducting certain value components). After a deadline on Wednesday, the U.S. will impose new high tariffs on additional Canadian goods worth $20 billion. If an agreement is reached, the tariff levels will be significantly lower than the current 25% tariffs imposed by Trump on car imports. Sources said that U.S. officials proposed to deduct only the value of components made in the United States from the 15% tariffs on Canadian cars, but Canadian officials hope to deduct the value of all North American components, including those from Canada and Mexico. Automotive industry officials stated that if a broader regional value component deduction is implemented, the effective tariff rate for U.S. cars manufactured in North America could drop to single digits, which is much lower than the current 15% tariff on North American cars imported from Japan, South Korea, and the European Union, and 10% for most British cars.