Germany Declares Stance Against US Car Tariffs, Signals Retaliation

Germany has firmly stated it will not yield to US President Donald Trump's newly announced 25% tariffs on imported cars and parts, prompting the EU and other world economies to prepare for possible repercussions.

Germany has firmly rejected the recent announcement of a 25% tariff on imported vehicles and parts by US President Donald Trump, asserting that it will not yield to pressure and calling for a united European response. The tariffs, which will take effect on April 2, are seen as part of Trump's attempt to bolster US manufacturing. Major European countries, including France and Canada, have spoken out against the measures, labeling them as aggressive economic moves that violate international trade practices.

Following the announcement, shares of major automotive companies in Europe, such as Porsche, Mercedes, and BMW, took a hit. German economy minister Robert Habeck emphasized the need for a resolute European response, arguing that failure to do so would encourage further US aggression. France’s finance minister supported a collective retaliation against US goods to rebalance trade relations and stimulate negotiations.

Canada's Prime Minister Mark Carney voiced his concerns about the effects of the tariffs on his nation's car industry, predicting that they will bring significant harm. Meanwhile, China's foreign ministry accused the US of breaking World Trade Organization rules, cautioning that no country benefits from a trade war. Both Japan and South Korea also expressed their discontent, with warnings of considerable economic repercussions for diplomatic relations with the US, while South Korean company Hyundai announced a major investment in the US, citing the positive outcomes of Trump's tariffs.

This situation continues to develop as the global automotive industry braces for significant changes in the wake of this trade dispute.