Government/Policy

May 5, 2026
President Trump threatens to hike EU auto tariffs to 25%
Written by Ethan Bernard
President Donald Trump has threatened to raise tariffs on auto imports from the European Union to 25% from 15%.
“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 in a Truth Social post last Friday.
“The Tariff will be increased to 25%. It is fully understood and agreed that, if they produce Cars and Trucks in USA Plants, there will be NO TARIFF,” he added.
As of Tuesday morning, there was no update on when and if the tariffs would be implemented.
The US-EU framework trade deal from 2025 laid out the 15% EU auto tariffs and included such elements as the EU removing tariffs on US industrial goods. (The full text can be found here, and a White House Fact Sheet here.)
EU hits back
European Commission President Ursula von der Leyen struck out at Trump, according to an article published Tuesday in Politico.
“We have a deal, and the essence of this deal is prosperity, common rules, and reliability,” Politico noted she said at a press conference at the EU-Armenia summit in Yerevan, Armenia.
She also said the EU is “prepared for any scenario.”

