Von der Leyen Dismisses Trump’s 25% EU Car Tariff Threat

European Commission President Ursula von der Leyen dismissed Donald Trump's threat of 25% tariffs on EU cars, urging adherence to trade agreements. EU leaders backed her stance.

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European Commission President Ursula von der Leyen on Tuesday dismissed U.S. President Donald Trump’s threat to raise tariffs on European cars, urging Washington to adhere to the terms of a trade agreement with Brussels.

Von der Leyen’s statement marked the first public reaction after Trump announced on Friday his intention to impose 25% tariffs on EU-made cars. Speaking at a press conference during the EU-Armenia summit in Yerevan, von der Leyen firmly stated: “A deal is a deal,” adding that “we have a deal” whose essence is prosperity, common rules, and reliability. She also emphasized that the bloc is prepared for any scenario.

EU Leaders Offer Support

European Council President António Costa, speaking at the same press conference in Yerevan, stated that EU leaders “fully support” the Commission’s response to Trump’s latest trade threat. French President Emmanuel Macron also clearly expressed support for the Commission’s stance at a separate press conference in Yerevan alongside Armenian Prime Minister Nikol Pashinyan.

Macron noted that “agreements have been signed and must be adhered to,” adding that “if agreements are called into question, it will restart everything.” He stressed that if a country is threatened with new tariffs, the EU possesses tools to respond, and these should be utilized, as “that’s what they exist for.” Macron also added that options are “on the table,” and close allies like Brussels and Washington “have much better things to do than wave threats of destabilization.”

History of Trade Relations

Trump’s latest tariff threats marked a sharp escalation in the turbulent commercial relations between Washington and Brussels. These threats followed a visit by EU Trade Commissioner Maroš Šefčovič to Washington, where he stated that the July agreement remained in force.

Under the terms of the agreement, concluded last July, U.S. tariffs on European cars were set at 15%. In exchange, Brussels agreed to reduce industrial tariffs, purchase $750 billion in U.S. energy, and invest $600 billion in the American economy. The EU is currently in the “final stages of fulfilling the remaining tariff obligations,” while U.S. commitments to comply with the agreed ceiling still remain unmet.

Following the surprising announcement on Friday, the Commission initially avoided direct confrontation with Trump, stating that the EU “will leave its options open.” A spokesperson added that the bloc is implementing the agreement “in accordance with standard legislative practice” and keeping Washington informed. Maroš Šefčovič was scheduled to meet with U.S. Trade Representative Jamieson Greer in Paris on Tuesday in an attempt to stabilize negotiations that had been rattled by Trump’s tariff threat.

Source: POLITICO

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