Moneycontrol PRO
LAMF
LAMF

Donald Trump trains guns at European Union, says US to impose 25% tariff soon

At present, the European Union imposes a 10% tariff on passenger cars, which is four times the rate of the American passenger car tariff of 2.5%.
February 27, 2025 / 16:59 IST
The American administration had also complained about steep European value-added taxes of 17.5%.

Weeks after announcing tariffs against Canada and Mexico, US President Donald Trump has said that the European Union will face a similar levy soon. Speaking to the media after his Cabinet meeting in the Oval Office, Trump stated that a 25% tariff on imports from the European Union will be formalized soon. He also mentioned that the new tariff will apply to cars.

At present, the European Union imposes a 10% tariff on passenger cars, which is four times the rate of the American passenger car tariff of 2.5%.

Slamming the EU, Trump said that the economic bloc was founded to “s**** the US.” The US President also claimed that the EU never accepts American cars or farm products.

Meanwhile, the European Commission has stated that the economic bloc will react accordingly to any “unjustified trade barriers.” Trump’s statement comes at a time when EU President Ursula von der Leyen is in India for a crucial two-day visit. Calling India a “trusted friend,” von der Leyen said that the India-EU talks are taking place amid “intense competition and conflicts.”

Previously, the American administration had also complained about steep European value-added taxes of 17.5%. Providing a timeframe for the tariffs on Canada and Mexico, Trump stated that the decision will come into effect on April 2, 2025.

The deadline for reciprocal tariffs, which will also cover India, has been set for early April. Trump stated that these reciprocal duties will help offset other trade curbs.

Moneycontrol News
first published: Feb 27, 2025 04:55 pm

Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!

Subscribe to Tech Newsletters

  • On Saturdays

    Find the best of Al News in one place, specially curated for you every weekend.

  • Daily-Weekdays

    Stay on top of the latest tech trends and biggest startup news.

Advisory Alert: It has come to our attention that certain individuals are representing themselves as affiliates of Moneycontrol and soliciting funds on the false promise of assured returns on their investments. We wish to reiterate that Moneycontrol does not solicit funds from investors and neither does it promise any assured returns. In case you are approached by anyone making such claims, please write to us at grievanceofficer@nw18.com or call on 02268882347