Far-reaching effect These are the losers in the trade war by Trump

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The trade war of the US president against China, Canada, and Mexico extends to Germany ...

Although the EU is not directly affected by Donald Trump's new import duties—not yet, but the German automotive industry in particular is likely to feel the impact of the tariffs imposed on the two US neighbors and the major rival in the Far East, as experts believe. The USA is imposing 25 percent tariffs on imports from neighboring countries Mexico and Canada. On energy imports from Canada only 10 percent. An additional 10 percent is also being levied on all imports from China. And the EU could be the next victim, which Donald Trump does not deny in any way. The tariffs against Canada, China, and Mexico are already affecting Europe—especially the latter. This is because the major German car manufacturers and many suppliers use Mexico as a cheap production location to serve the US market from there. Volkswagen, Audi, and BMW also have their own factories in Mexico. Mercedes-Benz produces there in a joint plant with Nissan.

Current US tariffs cast their shadow over Europe

Dirk Jandura, President of the German Foreign Trade Association BGA, already recognizes a clear signal to the EU and the Commission President Ursula von der Leyen in the new US tariffs. He warns: "We must not wait, paralyzed, until the EU or Germany are also subjected to tariffs." The EU Commission immediately referred to their strength. Therefore, they will decisively react to any trading partner that unfairly or arbitrarily imposes tariffs on goods. Moreover, currently no additional US tariffs on EU products are known. The German Chancellor also presents himself as confident in this regard. In response to a question about possible European countermeasures, Olaf Scholz stated that the EU is a strong economic area and has its own options for action. Building on this strength, he says, the EU plans to continue its economic relations with the USA. But first and foremost, it's about the world being fragmented, so to speak, by many tariff barriers.

German automobile manufacturers sense nothing good

A Volkswagen spokesperson cautiously commented on the day after the tariff announcement: "As a globally operating automobile manufacturer, we are closely monitoring developments in the USA and are assessing potential effects on the automotive industry and our company, which may result from the announced tariffs on imports from Canada and Mexico into the United States." The company advocates for open markets and stable trade relations, as these are essential for a competitive economy and especially for the automotive sector. And because hope is known to die last: "We rely on constructive discussions between the trading partners to ensure planning certainty and economic stability and to avoid a trade conflict." Mercedes expressed a similar cautious stance. A spokeswoman emphasized the importance of free trade and fair competition. She added: "We therefore support a liberal trade system based on WTO rules. This includes the principle that all parties encounter the same conditions."