Preparation for Retaliation from Europe to the US in the Automotive Sector

The European Union is gearing up to take measures against the new tariffs imposed by the United States on imported cars. Speaking at a daily press briefing in Brussels, European Union (EU) Commission Spokesperson Olof Gill commented on the new tariffs announced by the US on imported cars. Gill, stating that “We are ready to protect our economic interests,” added that if necessary, they would respond firmly, proportionately, strongly, well-calibrated, and timely to any unfair and disruptive measures from the US. Highlighting that their priority is to resolve the issue through negotiations, Gill mentioned that they aim to build, not destroy, the relationship between the EU and the US, and that the measures announced by the US are entirely misguided. Gill reminded that the US has so far officially imposed tariffs on steel and aluminum imports, emphasizing that Europe has responded effectively to this. According to Gill, they have received the announcement regarding cars from the US at this stage, and they have learned that a new series of measures called reciprocal tariffs will come into effect next week. Gill expressed that they view these developments with regret but are also preparing in response. Although unable to specify when a response to actions that have not yet been implemented will come, Gill emphasized that the EU will react in a timely, firm, well-calibrated manner that will have the intended effect. Gill stated, “The EU will take all necessary steps to protect our common market, industry, and companies.” US President Donald Trump signed an executive order yesterday imposing a 25% customs duty on imported cars and trucks to increase domestic production. The new customs duties are expected to take effect on April 2nd.