Germany calls for de-escalation following Trump's threats to raise tariffs on EU cars
Kyiv • UNN
Berlin urges the US to engage in negotiations after Trump's threats to increase auto tariffs from 15% to 25%. This could lead to billions in losses for Germany.
Germany has advocated for finding a common solution with the US to reduce trade tensions following Donald Trump's statements regarding a possible increase in tariffs on European cars. This was reported by Euractiv, according to UNN.
Details
German Vice-Chancellor Lars Klingbeil stated that Berlin is not interested in escalating the situation and calls for negotiations.
"Our path is clear: we do not want escalation. Tariffs harm both sides,"
Earlier, Trump announced his intention to raise tariffs on passenger cars and trucks from the EU from 15% to 25%, accusing the European side of failing to comply with a trade agreement.
Possible consequences for Europe
The biggest blow from a potential tariff hike is expected to fall on Germany due to its dependence on car exports to the US. According to analyst estimates, in the long term, this could lead to a reduction in production in the country by tens of billions of euros.
Other EU countries with developed automotive industries, including Italy, Slovakia, and Sweden, could also suffer economic losses.
Deterioration of relations
The trade dispute is taking place against the backdrop of a general deterioration in relations between the US and Germany.
In particular, Washington previously announced plans to reduce its military presence in Germany, which is linked to political disagreements between the parties.
The EU states its readiness for negotiations but does not rule out other steps in the event of a further escalation of the situation.