The Volkswagen (VW) Passat R (L) and the GOLF GTI are photographed at the tower storage facility for German car maker Volkswagen at the company's headquarters in Wolfsburg, central Germany, on March 11, 2025.
Rooney Hartmann AFP | Gety pictures
The German Minister of Economy and the auto industry criticized the plans of US President Donald Trump to impose Customs duties are sweeping 25 % on US car importsSaying this step sends a “deadly sign” to free trade and rules.
Trump said on Wednesday that he will implement the customs tariff on all vehicles and foreign car parts imported in the United States, as part of the measures that will enter into force as of April 2.
Duties that coincide with aN until a wider payment on the fees Starting next week, it is a major escalation in a global trade war already fermentation.
German Economy Minister Robert Habik called on the European Union to provide a “decisive response” to Trump's recent introductory announcement, saying that the fees “ultimately harm the United States and the European Union, and global trade as a whole.”
“The announcement of the high definitions of cars and auto parts is bad news for the German auto company, for the German economy, for the European Union, and also for the United States,” Habik said on Thursday in a prominent statement from Google.
He added: “It is very important that the European Union provides a decisive response to definitions-it must be clear that we will not retreat in the face of the United States. Power and self-confidence.”
European car shares were traded sharply on Thursday morning. French auto parts supplier Valeu More than 7 % fell shortly after the opening bell, listed in Milan Stelantis 5 % and Germany decreased BMW More than 4 % decreased.
“The 25 % additional American definitions on all passengers and light commercial vehicles that have not been manufactured in the United States send a fatal reference to the free bases -based trade,” Hildgard Muller, President of the German Automobile Industry Society (VDA),,, He said In a statement on Wednesday.
Muller said: “The definitions, which are scheduled to enter on April 2, will put a great burden on both companies and global supplies interlocking in the automotive industry – with negative consequences, especially for consumers – including North America.”
Müller of VDA stressed the economic importance of free and fair trade on both sides of the Atlantic partnership and called for immediate negotiations between the United States and the European Union on a bilateral agreement.
Muller said: “The risk of a global trade conflict – with negative effects on the global economy, growth, prosperity, jobs and consumer prices – rises from all parties,” Muller said.
“Unjustified”
The analysts have previously been to caution It seems that the auto sector in Germany is largely exposed to American definitions, noting that the country was – at a distance – the largest source of passenger cars in Europe to the United States in 2023.
Germany Volkswagenand Mercedes Benz collection BMW has all issued profit warnings in recent months, noting the weak economy and slow demand in China, the largest car market in the world.
Miguel Berger, German Ambassador to the United Kingdom, He said The customs tariff for auto imports of the United States was “unjustified” and an attempt to reorganize international trade “in favor of the only investments in the United States”
“The definitions will cause significant damage to the industry and consumers. We need to participate in conversations and be ready for a strong and effective response,” said Burger on Thursday on the social media platform X.
The container cranes are seen at the “Eurogate” container in the port of the northern city of Hamburg on February 27, 2025 in Hamburg, Germany.
Morris McMuzin Getty Images News | Gety pictures
The European Automobile Manufacturers Association (ACEA) said it was “interested in” the tariff of the proposed cars from Trump. ACEA, a car lobby group, like BMW, represents, Ferrariand Renaultand Volkswagen and Volvo.
“The European Union and the United States must engage in a dialogue to find an immediate decision to avoid customs tariffs and the destructive consequences of the trade war,” said the general manager of ACEA SIGRID De VRIES in a statement.
Meanwhile, Volvo cars in Sweden said on Thursday that they were “looking at the effects of changes in definitions,” as the Trump administration announced.
“Volvo Cars follow developments in different markets including the United States. We follow government bases and pay all the duties required on all imported vehicles and all parts as required by law,” Volvo Cars spokesman told CNBC via email.
“It is too early to comment more at this stage,” they added.
