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EU still cautious about threat of US car tariffs

November 21, 2019

The EU trade commissioner has said that they cannot dismiss the 'threat' of further tariffs on European car exports. US President Trump previously said he would impose tariffs if no trade deal was arranged.

A BMW in the mountains of Europe
Image: BMW AG -München

The European Union is still uncertain about whether the United States would impose further tariffs on European car exports, the European Commissioner for Trade Cecilia Malmstrom said on Thursday.

"The good news is that the US did not announce any new tariffs on EU cars and car parts on the November 13 deadline," said Malmstrom in Brussels on Thursday after a meeting of EU trade commissioners.

"Of course, the threat is not entirely gone and we are mindful of that," she added.

Read more: Opinion: EU stance on tariffs needs another look

US President Donald Trump previously threatened to impose tariffs on EU automotive industry exports if the two sides failed to agree a trade deal.

This would hit Germany in particular due to its large car manufacturing sector.

EU trade commissioner Cecilia Malmstrom
EU trade commissioner Cecilia Malmstrom Image: picture-alliance/Anadolu Agency/D. Aydemir

Trump 'considering fresh tariffs'

The news comes on the same day that Politico magazine reported that the US government is considering starting new trade investigations against the European Union.

Time is running out for Trump as the window will soon close on hitting Brussels with fresh tariffs. He was originally supposed to make a decision by November 14.

There is currently a tariff of 2.5% on cars imported into the United States from the European Union. Trump has said he could raise this to 25%.

ed/aw (dpa, Reuters)

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