Trump plans 25% tariff on EU cars

Trump said the United States will impose 25% tariffs on EU cars next week, raising risks of renewed trade tensions with Europe.

Donald Trump said the United States will raise tariffs on cars from the European Union to 25% next week, a move that could reignite trade tensions between Washington and Brussels. He added that companies producing vehicles inside the United States would be exempt from the tariffs.

European officials have not issued a formal response, but industry representatives have warned of serious consequences for production and employment. The planned increase also threatens a trade agreement reached last summer, which had reduced tariffs on most European goods to 15% in exchange for EU concessions.

U.S. officials have expressed frustration over what they describe as slow implementation of European commitments, while some European lawmakers have warned that new tariffs could lead to the collapse of the deal entirely.

The transatlantic trade relationship is one of the largest in the world, with deeply integrated supply chains in sectors such as automotive manufacturing. Any escalation in tariffs could disrupt production networks and increase costs for both sides.

Trade disputes between the United States and the European Union have intensified in recent years, particularly over industrial policy, subsidies, and market access. Previous disagreements have led to retaliatory tariffs affecting a wide range of goods.

Trump has also maintained high tariffs on steel and aluminum imports and has threatened similar measures against other trading partners, signaling a broader push toward protectionist trade policies.

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