WASHINGTON – President Donald Trump threatened to increase tariffs on cars from the European Union in retaliation for what he alleged was the EU’s failure to comply with a trade agreement.
“I am pleased to announce that, based on the fact the European Union is not complying with our fully agreed to Trade Deal, next week I will be increasing Tariffs charged to the European Union for Cars and Trucks coming into the United States,” Trump said May 1 on social media. “The Tariff will be increased to 25%.”
Trump didn’t cite which law he would use to impose the tariffs. The Supreme Court overturned his emergency tariffs on imports from other countries in February, but he has vowed to impose the fees under other statutes, which typically come after an investigation of unfair trade practices rather than by the president on his own.
Trump imposed temporary 10% tariffs worldwide after the Supreme Court’s decision.
U.S. Trade Representative Jamieson Greer is in the midst of two sets of hearings on proposed tariffs for countries that have excess production facilities and countries that allow forced labor.
Trump had announced the trade deal with the European Union in July, days ahead of a deadline he set. He met the European Commission’s president, Ursula von der Leyen, during a trip to Scotland, where the pair discussed terms and came to an agreement on a 15% tariff on most European exports to the United States.
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