Trump threatens 20% tariffs on European auto makers
President Trump is putting the European Union and its automakers on notice with a threat to slap a 20% tariff on all European made cars coming into the United States.
Trump tweeted:
Based on the Tariffs and Trade Barriers long placed on the U.S. and it great companies and workers by the European Union, if these Tariffs and Barriers are not soon broken down and removed, we will be placing a 20% Tariff on all of their cars coming into the U.S. Build them here!
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| GM | GENERAL MOTORS CO. | 45.08 | -0.02 | -0.04% |
| F | FORD MOTOR CO. | 13.05 | +0.10 | +0.81% |
| TM | TOYOTA MOTOR CORP. | 232.88 | +2.47 | +1.07% |
| TSLA | TESLA INC. | 162.13 | +17.45 | +12.06% |
| FCAU | n.a. | n.a. | n.a. | n.a. |
The EU tells FOX Business it is not providing any new comment on Trump's latest tweet because President Juncker and Commissioner Malmström have already expressed their positions.
The U.S. Commerce Department is currently investigating whether auto imports are a threat to national security. On May 23, the Commerce Dept announced it would launch a 232 investigation in to auto imports. “The Department’s investigation into whether imports of automobiles and automobile parts threatens to impair national security is ongoing" a Commerce Department spokesperson tells FOX Business.
U.S. Commerce Secretary Wilbur Ross has been in discussion with European leaders and told FOX Business’ Lou Dobbs back in March that he expects to reduce Europe’s trade barrier in an expedited manner, but warned of challenges with the bureaucratic European Commission.
“The decision process in Europe is even more complicated than here because you have all the separate countries, but they can’t literally negotiate for themselves. They have to go through the European Commission,” he said.
Separately, Trump spent a good portion of this week blasting the Chinese with the potential of a new round of tariffs on $200 billion worth of Chinese goods.
FOX Business Network's Blake Burman contributed to this report.