economy
Trump tears up part of EU tariff deal to raise import duties on cars and lorries
US president says tariff on vehicles imported from EU will rise to 25% and accuses bloc of non-compliance
TL;DR
- Donald Trump is increasing tariffs on EU cars and lorries from 15% to 25% starting next week.
- Trump claims the EU has not complied with the full agreed-to trade deal.
- Vehicles made in the US by EU companies will be exempt from the increase.
- The EU plans to respond with clarity and firmness and will keep options open to protect its interests.
- The EU parliament had voted to progress the deal but it still requires formal sign-off.
- This action follows threats by Trump to withdraw US troops from Italy and Spain.
- The original deal involved a 15% tariff on most EU goods including cars, with the EU agreeing to buy US energy and make US investments.