The U.K.’s government, for now, is relaxing its battery-electric vehicle sales targets as its domestic auto industry faces U.S. tariffs on top of existing challenges, including a slowdown in consumer demand for BEVs and rising competition from cheap Chinese electrics.

The change also allows sales of new hybrid gasoline or diesel powertrain vehicles to continue until 2035, beyond the previous deadline of 2030.

The nation’s domestic manufacturers have been warning the government since last year that they cannot meet the government’s sales targets for BEVs. The added challenge of the U.S.’s 25% blanket tariff on all imported foreign-made vehicles has forced the government’s hand to modify regulations.

Transport Secretary Heidi Alexander tells BBC Breakfast the changes are not a “silver bullet,” but part of a broadersolution to U.S. tariffs.

Welcoming the move, auto industry representative body, the Society of Motor Manufacturers and Traders (SMMT), says the government is finally listening to the industry challenges.

Mike Hawes, SMMT chief executive, says in a statement: “Industry remains committed to decarbonizing road transport, but the ZEV mandate targets are incredibly challenging, especially with a paucity of consumer demand and geopolitical upheaval. Growing EV demand to the levels needed still requires equally bold fiscal incentives, however, to give motorists full confidence to switch.

“We await full details of the regulatory amendments but, given the potentially severe headwinds facing manufacturers following the introduction of U.S. tariffs, greater action will almost certainly be needed to safeguard our industry’s competitiveness,” Hawes says.

“In this vastly changed world, a package of measures is needed to support manufacturing, especially the supply chain, so our industry can deliver the economic growth, jobs and investment the country needs,” Hawes says.