Trump threatens eu with higher car tariffs

Donald Trump has increased pressure on the European Union by threatening to raise tariffs on cars if the 2025 trade deal is not ratified by July 4.

The agreement was concluded at the end of July 2025 on the Turnberry golf course in Scotland. It includes the elimination of tariffs on certain products.

A meeting Wednesday evening between representatives of member states and the European Parliament failed to harmonize European positions. Ursula von der Leyen stated that Europe stands « ready for all scenarios ».

Emmanuel Macron called for retaliatory measures while Friedrich Merz urged caution. The US president warned that tariffs could reach « much higher levels ».

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Illustration depicting Trump announcing 25% tariffs on EU cars amid trade dispute, with blocked vehicles at border and EU retaliation warnings.
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Trump announces 25% tariffs on EU cars and trucks; bloc warns of retaliation in trade deal dispute

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US President Donald Trump announced on May 1, 2026, via Truth Social, 25% tariffs on cars and trucks imported from the European Union effective next week, claiming the bloc breached last summer's trade deal. The EU insists it is complying, demands clarifications, and reserves all options for retaliation, as Germany's auto sector braces for heavy impact.

A Cheong Wa Dae official said South Korea will carefully assess the impact of the Trump administration's decision to raise tariffs on EU autos and trucks to 25% and respond accordingly. The move has drawn attention in Seoul due to South Korea's similar tariff deal with the US. The government plans to communicate closely with Washington to maintain stable trade relations.

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Michel-Édouard Leclerc warned Donald Trump of the consequences of tariff threats on French wines during the G7 summit in Évian-les-Bains.

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