Ammon News - U.S. President Donald Trump said on Friday he would increase tariffs on cars and trucks from the European Union to 25% next week from the previously agreed 15%, saying the bloc had not complied with its trade deal with Washington.
The move drew sharp rebukes from European politicians and trade groups, with one European economist calling on Brussels and the German government to "finally show some backbone" and impose retaliatory tariffs.
"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," Trump wrote in a social media post.
"It is fully understood and agreed that, if they produce Cars and Trucks in U.S.A. Plants, there will be NO TARIFF."
Trump told reporters the higher tariff would force European car makers to move production to the U.S. more quickly.
"We have a trade deal with the European Union. They were not adhering to it. So I raised the tariffs on cars and trucks to 25%, that's billions of dollars coming into the United States, and it forces them to move their factory production much faster," he said at the White House.
The European Commission swiftly rejected Trump's claim that Brussels was not complying with last summer's trade deal and said it would keep its options open to protect EU interests if Washington breached the terms of the agreement.
Reuters