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Trump announces new tariffs on European cars imported to United States
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President Donald Trump announced Friday he was raising tariffs on European cars to 25%, citing the European Union’s noncompliance with the U.S.-EU trade deal.
“I am pleased to announce that, based on the fact the European Union is not complying with our fully agreed to Trade Deal, next week I will be increasing Tariffs charged to the European Union for Cars and Trucks coming into the United States. The Tariff will be increased to 25%,” Trump wrote in a Friday morning Truth Social post.
He did, however, indicate that he would drop the tariffs if European companies agreed to manufacture their cars in the U.S.
“It is fully understood and agreed that, if they produce Cars and Trucks in U.S.A. Plants, there will be NO TARIFF,” Trump also wrote.
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President Donald Trump speaks to the press before departing the White House for Florida on May 1, 2026, in Washington, D.C. (Celal Gunes/Anadolu via Getty Images / Getty Images)
He reiterated the point while speaking to reporters at the White House on Friday.
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“We raised the tariffs on cars coming in from the European Union because the European Union was not adhering to the trade deal we have. So based on that now, when they build their plants on which they’re spending over $100 billion for countries, not just the Union, but when those plants open, there won’t be any tariffs,” Trump told reporters.
Cars are loaded onto the car carrier ship Polaris Liberty at the automotive terminal on Aug. 11, 2025, in Bremerhaven, Germany. The U.S. will apply a 25 percent tariff to all European vehicles, U.S. President Donald Trump announced May 1, 2026. (Focke Strangmann/Getty Images / Getty Images)
He also touted ongoing U.S. manufacturing of car plants.
“We have right now in the United States over $100 billion of car plants being built. That’s a record. We’ve never had anything like it, from all countries, Japan, South Korea, every, by the way, Canada, Mexico, they’re all building plants in the United States. But the European Union was not adhering to the deal that we made,” Trump said.
President Donald Trump walks with Executive chair of Ford Motor Company Bill Ford Jr. and CEO of Ford Motor Company Jim Farley as they tour the Ford River Rouge Complex on Jan. 13, 2026, in Dearborn, Michigan. (Getty Images / Getty Images)
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The U.S. and EU reached a landmark trade deal in July that saw the President agree to lower tariff rates on EU cars and trucks from its previous 27.5% to 15%.
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