Trump announces 25% tariff increase on European vehicles
U.S. President Donald Trump announced this Friday, May 1st, that he will increase customs tariffs next week on cars and trucks from the European Union (EU), considering that Brussels is not fulfilling the agreed commercial commitments.
TL;DR
- Donald Trump announced an increase in tariffs on EU cars and trucks to 25%.
- The U.S. President claims the EU is not fully complying with a trade agreement.
- Germany, a major exporter of vehicles to the U.S. within the EU, is expected to be heavily impacted.
- A previous agreement had limited U.S. tariffs on EU automobiles and parts to 15%.
- The European Parliament conditionally approved a trade pact with Washington in late March, which includes reducing some EU tariffs on U.S. imports.
- The decision escalates trade disputes and impacts the European automotive industry and bilateral trade.