President Trump announced that he will increase the tariffs on trucks and cars from the European Union to 25%. The policy is set to take effect next week.
“I am pleased to announce that, based on the fact the European Union is not complying with our fully agreed to Trade Deal, next week I will be increasing Tariffs charged to the European Union for Cars and Trucks coming into the United States,” he wrote on Truth Social. “The Tariff will be increased to 25%. It is fully understood and agreed that, if they produce Cars and Trucks in U.S.A. Plants, there will be NO TARIFF.”
“Many Automobile and Truck Plants are currently under construction, with over 100 Billion Dollars being invested, A RECORD in the History of Car and Truck Manufacturing,” he continued. “These Plants, staffed with American Workers, will be opening soon — There has never been anything like what is happening in America today! Thank you for your attention to this matter.”
Trump did not state which authority he is using for the tariffs, as the Supreme Court ruled earlier this year that Trump could not use the International Emergency Economic Powers Act (IEEPA) for tariffs.
Following the ruling, the European Commission said, “A deal is a deal. As the United States’ largest trading partner, the EU expects the U.S. to honour its commitments set out in the Joint Statement – just as the EU stands by its commitments.” The entity noted, “In particular, EU products must continue to benefit from the most competitive treatment, with no increases in tariffs beyond the clear and all-inclusive ceiling previously agreed.”
