U.S. President Donald Trump’s controversial decision to impose 25% tariffs on all imported vehicles has triggered a fierce backlash from European leaders and auto-industry giants, sparking fears of a looming trade war .
The move, signed via executive order on Wednesday, drew swift condemnation. "A disastrous signal for free trade," warned Hildegard Mueller of Germany’s Automotive Industry Association, calling it a blow to global supply chains. French President Emmanuel Macron criticized the tariffs as "geopolitically misguided," while Spain’s auto manufacturers warned of "economic confrontation."
The tariffs, set to take effect April 2, reverse decades of low-duty trade between the U.S. and Europe. Analysts predict higher prices for American consumers, job losses in Europe, and chaos for automakers relying on cross-border parts. "A trade war has no winners," stressed German trade leader Dirk Jandura, slashing economic forecasts .
With the EU vowing countermeasures, tensions risk escalating into a full-blown economic tug-of-war—one that could reshape alliances and test the resilience of global markets .
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