US President Donald Trump appears to have rejected overtures from the EU aimed at removing tariffs on automotive products traded between the US and EU. Trump made the remarks, which will reignite concerns over the potential impact of rising EU-US trade tensions on European automotive firms, in an interview with Bloomberg.
The US and Mexico have announced they have reached agreement in trade negotiations that are part of an effort to revamp the NAFTA trade agreement. However, Canada - the third participant in NAFTA - is yet to agree to the new rules.
Ahead of NAFTA talks due to start on Tuesday (21 August), it has emerged foreign-brand vehicle makers with US plants have told US lawmakers they do not support Trump administration rules to raise the amount of local content in North American made vehicles.
Bernhard Mattes, President of the German Association of the Automotive Industry (VDA), has warned the US government that US import tariffs would harm US competiveness 'with severe negative effects on investment and employment in the US'.