EU, on Trump's car tariff announcement, "Can respond if US violates agreement"

EU, on Trump's car tariff announcement, "Can respond if US violates agreement"

In response to US President Donald Trump's announcement of increased tariffs on cars from the European Union (EU), the EU Commission warned that it could respond to protect EU interests if the US violates the trade agreement.

President Trump stated today that the EU is not complying with the trade agreement and announced that he would raise the tariff rate on passenger cars and trucks from the EU to 25% starting next week.

In response, the EU Commission countered that the EU is complying with the trade agreement with the US and warned that it is open to retaliatory measures if the US raises tariffs, Reuters and DPA reported.

An EU Commission spokesperson said, "We remain committed to a predictable and mutually beneficial EU-US relationship," adding, "If the US takes measures inconsistent with the joint statement (of the trade agreement), we will keep our options open to protect the EU's interests."

The spokesperson emphasized, "The EU is fulfilling its commitments under the joint statement in line with standard legislative practices."

Bernd Lange, Chair of the European Parliament's Committee on International Trade, posted on X (formerly Twitter), "Unacceptable." He added, "The European Parliament is still working to finalize legislation while respecting the Scottish agreement. The EU is implementing, but the US side continues to break its promises."

The US and the EU reached a trade agreement last July to reduce US tariffs on most EU imports, including automobiles, to 15%, while the EU would abolish tariffs on US manufactured goods and improve market access for agricultural products.

However, the pace of agreement implementation within the EU slowed down due to ongoing issues such as the US's tariff threats and reversals against European countries that opposed President Trump's demand for Greenland's annexation, and the US Supreme Court's tariff-related ruling.

In March, the European Parliament processed the approval of the trade agreement, which had been stalled twice, adding an amendment to protect European interests if the US fails to implement the agreement.