Here’s why
EU has warned the US that imposing import tariffs on cars and car parts would harm its own automotive industry and can lead to counter-measures by its trading partners on $294bn of US exports, according to latest reports.
In a 10-page submission to the US Commerce Department, the EU said tariffs on cars and car parts were unjustifiable and did not make economic sense.
The Commerce Department launched its probe, on grounds of national security, on May 23 under instruction from President Donald Trump, who has repeatedly criticized the EU over its trade surplus with the United States and for having higher import duties on cars.
The EU has a 10 per cent levy, compared to 2.5 per cent for cars entering the United States.
Leave a Comment