On Truth Social, Trump announced Friday that he would raise customs duties on imports of passenger cars and trucks from the European Union to the USA up to 25%. The new rate is to apply from next week.
This is a serious blow to German exports. The United States is Germany's most important recipient of cars: last year, vehicles and parts worth EUR 28.5 billion, or approximately PLN 120 billion, were exported there (which is still a 17.8% decrease compared to 2024).
— Tariff increases hit the German automotive industry in an already difficult situation. If this leads to a new trade war, Germany faces recession in 2026. – says to “Bild” a leading economist and president of ifo, prof. Clemens Fuest.
This means that if Trump introduces increases and the EU responds with retaliatory tariffs (US products become more expensive), after years of zero growth Germany is even at risk of relegation.
Only in August 2025 did Trump and European Commission President Ursula von der Leyen agree on an upper tariff limit of 15%. for most goods imported to the US from the EU. This rate was also to apply to European cars and car parts. In return, the EU pledged to eliminate tariffs on American industrial goods and facilitate market access for American agricultural products.
Threats and countermeasures
“They didn't honor the deal we made,” Trump now justified his decision. Prof. Jens Sudekum, an economist and adviser at the Federal Ministry of Finance, explains to “Bild” that US president “did not provide precise justification”.
The European Commission immediately clarified: if US actions violate the trade agreement, Brussels reserves “all options to protect EU interests.” As Sudekum says, the EU should just wait for now. “We know that Trump is eager to quickly suspend or withdraw his loud tariff threats,” explains the economist.
Otherwise, Sudekum advises you to take appropriate countermeasures. It is unclear whether the new tariff threats even have a legal basis under current U.S. Supreme Court case law.
However, American-German tensions do not end there. US Secretary of Defense Pete Hegseth made the decision to… withdrawal of approx. 5 thousand soldiers from Germany. A day earlier, Trump announced that he was considering such a move, suggesting that it was a retaliation for Germany's attitude towards the war against Iran and criticism from the authorities in Berlin, including Chancellor Friedrich Merz.
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Under American pressure
“The German Chancellor should devote more time to ending the war with Russia/Ukraine (where he has proven completely ineffective!) and repairing his broken country, especially on immigration and energy, and less time interfering with those who are getting rid of the nuclear threat from Iran, thereby making the world, including Germany, a safer place,” Trump responded to Merz's criticism on the Truth Social platform.
Last night, the US president added that the number of withdrawn troops will be even higher than 5,000.
German Defense Minister Boris Pistorius said on Saturday that the move to withdraw was predictable. He added that the American presence in Europe, and especially in Germany, is in our interest, as well as in the interest of the United States. However, he announced cooperation with European partners.
“We are working with the United States to understand the details of its decision to deploy forces in Germany,” NATO spokeswoman Allison Hart wrote on
I’m Ashley Davis as an editor, I’m committed to upholding the highest standards of integrity and accuracy in every piece we publish. My work is driven by curiosity, a passion for truth, and a belief that journalism plays a crucial role in shaping public discourse. I strive to tell stories that not only inform but also inspire action and conversation.
