U.S. President Donald Trump has said he will raise tariffs on cars and trucks imported from the European Union to 25% next week, up from the 15% level agreed last year, accusing the bloc of failing to comply with its trade commitments.
In a post on social media on Friday, Trump said the European Union was not honouring the terms of the deal struck with Washington, prompting him to act. He added that vehicles manufactured in the United States would not be subject to the tariff.
Speaking later at the White House, the president said the higher levy would generate billions of dollars for the U.S. and force European carmakers to relocate production more quickly to American plants.
The move drew sharp criticism from European politicians and industry groups. The European Commission rejected the claim that the EU had breached the agreement and said it would consider measures to protect the bloc’s interests if the United States violated its terms.
Tensions between Washington and Brussels have been rising amid disagreements over the war in Iran and wider security and trade issues. The tariff announcement coincided with the May Day public holiday across much of Europe and the launch of a new EU-Mercosur trade deal, part of efforts by Brussels to offset the impact of U.S. trade measures.
Last August, the two sides agreed to reduce U.S. tariffs on EU car imports from 25% to a net rate of 15% in exchange for the EU cutting duties on U.S. industrial goods and aligning with American vehicle standards. While the U.S. implemented the changes immediately, EU legislative processes have moved more slowly, with final approval not expected before June.
Bernd Lange, chair of the European Parliament’s trade committee, described Trump’s action as "unacceptable", while German industry figures warned the higher tariffs would drive up costs and risk further escalation. Some economists and business leaders have urged the EU to respond with retaliatory measures.
Shares in major carmakers fell following the announcement, with U.S. and European manufacturers alike affected. Analysts warned the decision could deepen transatlantic trade tensions, particularly as uncertainty continues over the future of other trade agreements, including the U.S.-Mexico-Canada pact.
Afghan refugees in Pakistan are delaying or avoiding medical treatment because they fear arrest under the country's deportation policy, leading to pre...
On 29 July, AnewZ's Daybreak focused on meetings involving Donald Trump, Volodymyr Zelenskyy and Benjamin Netanyahu, escalating tensions in the Middle...
Ford raised its full-year earnings forecast after reporting stronger-than-expected second-quarter adjusted profit, as resilient demand for its vehicle...
U.S. President Donald Trump said on Monday that there is a good chance” of reaching a deal with Iran, but warned that Washington would resume military operation if negotiations fail.
The Russia-Ukraine war is increasingly reshaping the Caspian region. From threats to energy infrastructure to renewed diplomatic efforts, countries across the region are adapting to the wider consequences of a conflict that continues to disrupt trade, transport and security.
Yemen warned the Houthis were seeking to replicate Iran's Strait of Hormuz strategy in the Red Sea, as U.S. President Donald Trump said there was a "good chance" of a deal with Tehran but warned strikes could resume if talks failed.
Moscow should stop linking Russia-Armenia relations to Azerbaijan, Baku's Foreign Ministry spokesperson Aykhan Hajizada has said, after Russia again raised the Collective Security Treaty Organisation's role during the former Garabagh conflict.
Saudi Arabia said its overnight strikes on Iran-backed group targets in Iraq were carried out in self-defence and warned it would take further military action if the groups launched new attacks against the kingdom.
Ford raised its full-year earnings forecast after reporting stronger-than-expected second-quarter adjusted profit, as resilient demand for its vehicles and operational improvements helped offset tariff-related costs.
SK Hynix reported record quarterly profit on Wednesday, but its shares slumped 10 per cent after the South Korean chipmaker fell short of investor expectations built around the artificial intelligence (AI) boom.
Oil prices have fallen more than six per cent as a pause in U.S.-Iran hostilities eased fears of wider supply disruption around the Gulf.
Paramount Skydance agreed to pause its acquisition of Warner Bros Discovery until after a ruling on a challenge by states to the deal, plunging the $110 billion deal into further uncertainty.
China's Foreign Ministry has said it is closely monitoring the United Kingdom's nationalisation of British Steel. Prior to the British government fully taking over the loss-making company on Thursday, it was previously owned by Chinese private steelmaker Jingye.
You can download the AnewZ application from Play Store and the App Store.
What is your opinion on this topic?
Leave the first comment