I agree with these experts...You don't want to wet sand at this point and if you were to wet sand (on new applied topcoat only) it would be with a rubber block and by hand only, BUT in your case you run the risk of cutting through the lacquer top coat into the primer. Lacquer is very soft.
Jon G nailed it. Use 3M Imperial Glaze. You could use a powered wool buffing pad, but be careful not to load up the pad thereby causing other problems.
3M makes some hi tech foam pads also.
Go slow,as I said lacquer is very soft. Not sure you can even buy automotive lacquer paint anymore.
