Trump to Raise U.S. Tariffs on EU Cars and Trucks to 25% Next Week

Overview

• Trump announced Friday on Truth Social that tariffs on cars and trucks from the European Union will rise to 25% next week.
• He said European brands will avoid the new levy if they build vehicles in U.S. plants.
• The European Commission says the bloc has honored the 2025 Turnberry framework, which set a 15% cap on most EU goods.
• The White House has not identified a legal basis after a Supreme Court ruling narrowed tariff powers, and a separate 10% global tariff now in place needs a congressional extension in July.
• Analysts warn the higher rate could lift U.S. car prices, hit European automakers, and disrupt auto supply chains tied to a €1.7 trillion transatlantic trade relationship.