Von der Leyen Regrets the Measure and Assures the EU Will Evaluate the Response
The Canadian Prime Minister Asserts It Represents a "Direct Attack" on Workers
US President Donald Trump has announced a 25 percent tariff on automobiles manufactured outside the country that will take effect on April 2, a new measure in the trade war initiated by the Republican magnate.
“We are going to charge countries for doing business in our country and for taking away our jobs, our wealth, and many of the things they’ve been taking away from us over the years,” he emphasized Wednesday in statements to the press from the White House.
Trump’s announcements regarding the tariffs have shaken the markets in recent weeks. The S&P 500 stock index, which represents the largest publicly traded companies in the United States, fell 1.1% on Wednesday, while the Nasdaq fell 1.8%, according to Bloomberg.
It is currently unclear whether the measure will also affect cars with components made in the United States. This also comes before the president is expected to announce so-called reciprocal tariffs on the trading partners of the world’s largest economy on April 2.
The Trump administration granted a one-month exemption in early March to all cars entering the United States-Canada-Mexico free trade agreement, although this exemption expires on April 2.
Canadian Prime Minister Mark Carney later emphasized in statements to the press that this represents a “direct attack” on the country’s workers and called it an “unjustified” action by Washington.
“We will defend our workers, we will defend our companies, we will defend our country, and we will defend it together,” she stated, adding that the measure will affect Ottawa, although they will emerge stronger “by being united.”
VON DER LEYEN REGRETS THE MEASURE
For her part, European Commission President Ursula von der Leyen “deeply” regretted Trump’s decision to impose tariffs on European automobile exports and indicated that the bloc will “evaluate” its response to this measure, as well as to other measures by the magnate, referring to reciprocal tariffs.
“The automotive industry is an engine of innovation, competitiveness, and high-quality employment thanks to deeply integrated supply chains on both sides of the Atlantic,” she said in a statement.
She also indicated that the EU “will continue to seek negotiated solutions” that allow it to “safeguard its economic interests at the same time.” “We will jointly protect our workers, businesses, and consumers throughout the European Union,” he concluded.
European Trade Commissioner Maros Sefcovic recently returned from his second trip to the United States without an agreement to resolve the tariff crisis, but he insists on keeping the door open to dialogue even though there is still “hard work” to be done and Brussels continues to move forward with preparing countermeasures worth up to €26 billion.
The EU executive’s initial plan was to activate a first tariff package worth €8 billion from April 1, based on a list of products designed during previous crises, and a second, with a potential impact of €18 billion, on April 13.
Brussels now says it prefers to wait until mid-month to launch the two plans as a whole for “technical” reasons, as this allows for the tariffs to be “calibrated” and the lists adjusted to European interests, although it admits that it also offers a few weeks of leeway for negotiation.
