American president Donald Trump has threatened to tax imported cars from the European Union as part of his increasingly vehement rhetoric around trade tariffs.
America is the largest export market for cars built in the EU. Statistics show that £171 billion worth of cars were exported from the EU last year, with the US the destination for 25% of them. Of those cars, just more than half were exported by German car makers.
Trump’s comments come as part of a wider focus on imported goods, including proposed tariffs on imported steel and aluminium. The move is part of his ‘America First’ campaign, in which he has pledged to protect American interests and jobs. He has described existing trade deals that don’t favour America as “very stupid”.
Donald Trump vs the car industry (from January 2017)
The specific threat to the car industry was made in a Tweet, which read: "If the EU wants to further increase their already massive tariffs and barriers on US companies doing business there, we will simply apply a Tax on their Cars which freely pour into the US.
"They make it impossible for our cars (and more) to sell there. Big trade imbalance!" [sic]
If the E.U. wants to further increase their already massive tariffs and barriers on U.S. companies doing business there, we will simply apply a Tax on their Cars which freely pour into the U.S. They make it impossible for our cars (and more) to sell there. Big trade imbalance!
— Donald J. Trump (@realDonaldTrump) March 3, 2018
In a second Tweet he added: "Our jobs and wealth are being given to other countries that have taken advantage of us for years. They laugh at what fools our leaders have been. No more!"
As well as widespread condemnation from car makers – who have pointed out that they manufacturer their most successful models in the US already, employing hundreds of thousands of Americans directly and indirectly – Trump’s comments have brought a mixed reaction from his political allies and opponents.
In addition, Canadian prime minister Justin Trudeau described tariffs as "absolutely unacceptable" and hinted that any tariff would be met with strong resistance and potentially retaliatory action. Brazil, Mexico and Japan have hinted at similar moves.
Read more
MPs: lack of Brexit deal would be harmful to British car industry
Global new car sales: key trends and what they mean
Donald Trump vs the car industry (from January 2017)
Opinion: Donald Trump and emissions regulations (from February 2017)
BMW 5 Series
I suppose if tarriffs are imported and they're high, there's probably nothing stopping VW, BMW and Mercedes kitting out their existing factories to build some of their cars which are currently imported in to the US. A bit like how they tried to massively tax imports of the Bombardier C Series plane but then Airbus essentially bought the plane from Bombardier and, cunnigly, will eventually build it at their USA factory once the C Series assembly line is completed there. Therefore avoiding tarriffs, although the Trump administration are trying to find a way around this by saying Airbus and Bombardier are foreign companies so their products should be taxed. Does that mean then they'll also have to tax cars made by foreign companies in the USA of which there are loads and whose cars are best sellers there, like Nissan, Toyota and Honda, not to mention VW, BMW and Mercedes.
As for other European cars imported, there's only Fiat, Alfa, Volvo and Jaguar in terms of mainstream production, otherwise it's all the high-end cars where they already have high prices high enough to the point where a tarriff probably wouldn't put off a wealthy buyer.
"They make it impossible for our cars (and more) to sell there"
America make it impossible for their cars to sell here - that's because they're shit.
"They make it impossible for our cars (and more) to sell there"
America make it impossible for their cars to sell here - that's because they're shit.
Shame that everything the man tweets merely confirms a phrase that his late Scottish mother,who was from Lewis, might have told him: "Y'er a bigger bum than twa' erses"
"They make it impossible for our cars (and more) to sell there"
America make it impossible for their cars to sell here - that's because they're shit.
Over large, badly built steaming piles of shit.....
American cars don't sell in any quantity because they don't suit European tastes - that's not something that tariffs will fix.
The 25% import tariff will of course means the Buick Regal, built in Germany, will go up massively !!!
European Cars are a small percentage of our output to the States,only high end SUV and sedans are bought there, Cars from Mercedes, Porsche ,BMW because their better built than some of the Tanks they pass off as luxury sedans, and anyway, if a Trump keeps going the way he is, America is going to alienate themselves because of Donald Trumps tantrums.......!!!!
Ford? US company
Jeep? US/Italian (Italian owned). Chryslers, they tried as Lancias and Dodge as Fiats but everybody hated them
Maybe the moron didn't know that Chevrolet/GM sold out and quit the market and such Chevrolets that they sold were built in Korea.
Cadillacs were sold with the help of SAAB but they withdrew.
Yet all the fat Drumpfass can do is say he hasn't seen enough Chevrolets in Europe.
What numbskulls elected this guy?
Just proves to me how stupid Trump is, does he realise that both BMW & Mercedes Benz make the great majority of their SUV's in the redneck states of Alabama & South Carolina. These two manufacturers are also the greatest exporters of US motor vehicles to the EU and if Trump is dumb enough to impose tariffs the EU is going to retaliate and there's a lot of hicks in the sticks who voted this idiot into power are going to find themselves out of a job. As these two states are some of the poorest in the union they may find their opportunies some what limited. Trouble is that cars built for US domestic market by the Big Three have limited appeal for the European market, the exception being the Mustang for which the Blue Oval was smart enough to engineer for RHD to improve it's sales prospects, pity the General didn't do that with the Camaro as well, it'll be interesting to see how that sells in OZ in LHD form as a Holden
Does he not know BMW, VW etc manufacture their cars is the USA?
Any chance of a list of US built cars sold in the UK so we know not to buy them?
Source : autocar