ACEA: US auto tariffs will hurt global car manufacturers and US manufacturing
The European Automobile Manufacturers’ Association (ACEA) said in a March 27 statement that it is deeply concerned by US President Donald Trump’s announcement of additional tariffs on its sector.
The BBC reported that Trump has announced new import taxes of 25 per cent on cars and car parts coming into the US, with the latest tariffs coming into effect on April 2, with charges on businesses importing vehicles starting the next day.
ACEA said that this comes at a watershed moment for its industry’s transformation and as fierce international competition mounts.
“European automakers have been investing in the US for decades, creating jobs, fostering economic growth in local communities, and generating massive tax revenue for the US government,” said ACEA Director General, Sigrid de Vries.
“We urge President Trump to consider the negative impact of tariffs not only on global auto makers but on US domestic manufacturing as well.”
Tariffs will not just impact imports into the US, a penalty that American consumers are likely to pay, but measures on automotive parts will also hurt auto makers producing cars in the US for export markets, ACEA said.
European manufacturers export between 50 per cent and 60 per cent of the vehicles they make in the US, making a substantial positive contribution to the US trade balance.
The EU and the US must engage in dialogue to find an immediate resolution to avert tariffs and the damaging consequences of a trade war, ACEA said.
(Photo: Alexander-93, via Wikimedia Commons)
