BRUSSELS/FRANKFURT/PARIS (dpa-AFX) - The European Union has expressed deep regret over the U.S. decision to impose 25 percent tariff on imports of automobiles and certain automobile parts.
'The automotive industry is a driver of innovation, competitiveness, and high quality jobs, through deeply integrated supply chains on both sides of the Atlantic,' European Commission President Ursula von der Leyen said in a statement.
She reiterated her stand that tariffs are taxes - bad for businesses, worse for consumers equally in the US and the European Union.
Von der Leyen said the 27-nation bloc will assess the U.S. announcement, together with other measures Washington is envisaging in the next days.
She added that the EU will continue to seek negotiated solutions, while safeguarding its economic interests.
'As a major trading power and a strong community of 27 Member States, we will jointly protect our workers, businesses and consumers across our European Union.'
Wednesday, President Donald Trump signed a proclamation invoking Section 232 of the Trade Expansion Act of 1962 to impose a 25 percent tariff on imports of automobiles and certain automobile parts into the United States, to 'address a critical threat to U.S. national security.'
Trump said he is taking this action to protect the U.S. automobile industry, which has been undermined by excessive imports threatening the nation's domestic industrial base and supply chains.
The 25 percent tariff will be applied to imported passenger vehicles, including sedans, SUVs, crossovers, minivans, cargo vans and light trucks, as well as key automobile parts such as engines, transmissions, powertrain parts, and electrical components. The tariffs will be expanded to additional parts if necessary.
Importers of automobiles under the United States-Mexico-Canada Agreement will be given the opportunity to certify their U.S. content, and the 25 percent tariff will only apply to the value of their non-U.S. content.
USMCA-compliant automobile parts will remain tariff-free until the Secretary of Commerce, in consultation with U.S. Customs and Border Protection (CBP), establishes a process to apply tariffs to their non-U.S. content, the order says.
In 2024, Americans bought approximately 16 million cars, SUVs, and light trucks, and half of these vehicles were imports.
The United States trade deficit in automobile parts reached $93.5 billion in 2024, the White House says.
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