The global economy and international trade situation are once again facing significant uncertainty. US President Donald Trump has decided to unleash a heavy trade blow on European allies, triggering a new round of tariff wars.
Earlier, Trump posted a strongly worded message on his own social media platform Truth Social, officially announcing that he would impose extremely damaging tariffs on the European Union (EU) auto industry.
Slamming the EU for breach of contract, a 25% tariff will be imposed on automobiles starting next week.
In his post, Trump stated explicitly that the trigger for this decision was the EU's "lack of credibility":
"I am pleased to announce that, based on the EU's failure to comply with the trade agreement we have fully agreed upon, I will be raising tariffs next week on EU cars and trucks entering the United States."
He explicitly stated the specific figures for this round of sanctions: tariffs will be significantly increased to 25% . For major European automakers that heavily rely on the US market (such as Mercedes-Benz, BMW, and Volkswagen in Germany), this is undoubtedly a heavy blow.
Invoking the "Made in America" exemption, boldly predicting a trillion-dollar investment wave.
However, behind Trump's tariff weapon lies his signature "America First" strategy. In the article, he explicitly pointed out an "exemption backdoor" that could circumvent tariffs: as long as these automakers choose to produce cars and trucks in factories within the United States, there will be "no tariffs."
Trump further touted his achievements to the American people, claiming that his tough policies had already brought tangible economic benefits:
- The biggest factory construction boom in history: Trump revealed that many car and truck factories are currently under construction in the United States, with a total investment of more than $100 billion . He emphasized that this is "the highest record in the history of car and truck manufacturing".
- Protecting local jobs: These new factories, which are about to open, will be operated entirely by American workers.
With the 25% tariff set to take effect next week, markets are holding their breath awaiting retaliatory measures from the EU. If the two sides engage in a retaliatory trade spiral, it could significantly increase global supply chain costs and inflationary pressures, potentially putting pressure on risk assets.
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