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The White House says it will raise tariffs on EU-made cars to 25%.\u00a0<\/p>\n
(Provided by iStock)<\/p>\n
The White House said Friday<\/a> that it will increase the duties on cars and trucks from the European Union to 25%.<\/p>\n In a social media post<\/a>, President Donald Trump said the EU is not complying with the terms of a trade deal negotiated with European leaders last year. That agreement capped tariffs on most goods at 15%, although the U.S. Supreme Court later invalidated<\/a> the administration\u2019s position permitting open-ended tariffs without Congress\u2019 approval.<\/p>\n The EU has yet to implement the new trade agreement.<\/p>\n Prior to 2025, the tariff on most vehicles brought into the U.S. was 2.5%<\/a>. The president said he believes the 25% levy will make European automakers quickly move production to the U.S.<\/p>\n Regardless of whether the 25% auto tariff sticks, observers say the Trump administration may be preparing another round of widespread tariffs. The Office of the U.S. Trade Representative is currently investigating<\/a> the use of overseas forced labor in foreign countries, and whether trade partners are overproducing goods, making it difficult for American manufacturers to compete.<\/p>\n Many experts predict the trade office will release findings that support the administration\u2019s position, setting the stage for new tariffs.<\/p>\n Subscribe to our twice-weekly, FREE newsletter for the latest manufacturing news and information, including new technologies, educational webinars, podcasts and more.<\/p>\n