Headlines
BMW CEO hopeful for 'manageable' deal on US auto import tariffs
Published by Global Banking and Finance Review
Posted on July 11, 2025
2 min readLast updated: January 22, 2026
Global Banking and Finance Review
Company
Published by Global Banking and Finance Review
Posted on July 11, 2025
2 min readLast updated: January 22, 2026
BMW CEO is hopeful for a manageable US auto import tariff deal, possibly including a netting mechanism to offset imports with exports.
MUNICH (Reuters) -BMW's CEO said on Friday he was optimistic that the European Union and the United States would soon reach a "manageable" agreement on auto import tariffs, potentially including a mechanism to offset imports with exports.
Oliver Zipse's comments come as Europe awaits a letter from the U.S. administration under Donald Trump that could outline the framework of a trade deal and clarify tariff levels on European automotive exports. Trump said on Thursday the EU could receive a letter on tariff rates by Friday.
"I'm optimistic that there will be a manageable outcome but we have to wait for the result," Zipse told journalists at a company event in Munich on Friday.
He said a possible "netting mechanism" could be part of the deal, allowing exports from the U.S. to offset imports. BMW stands to benefit from such an arrangement, as its largest production site is in Spartanburg, South Carolina.
The mechanism could be based on the value of exports out of the U.S. market - more than $10 billion in 2024 in BMW's case - rather than the number of exported vehicles, he said.
If both sides were to agree on such a mechanism, it could also benefit imports of auto parts, according to people familiar with the matter.
"We have an important point because we are the largest car exporter in the U.S." Zipse said, referring to the 225,000 cars it exported out of the country in 2024.
Hefty tariffs on car imports to the U.S. have left European carmakers scrambling to respond while hoping for a deal to minimise their impact in talks between Washington and the European Commission.
Sources told Reuters earlier this week that Brussels had proposed a package of measures to ease the pressure, including export and investment credits and mutual reductions in existing tariff rates.
(Reporting by Christina Amann; Writing by Rachel More and Christoph Steitz; Editing by Louise Heavens)
BMW's CEO expressed optimism that a 'manageable' agreement on auto import tariffs between the EU and the US could be reached soon.
A possible 'netting mechanism' could allow exports from the US to offset imports, which would benefit BMW significantly.
BMW exported 225,000 cars from the US in 2024, making it the largest car exporter in the country.
Brussels proposed a package including export and investment credits and mutual reductions in existing tariff rates to alleviate the pressure on European carmakers.
BMW expects the value of its exports from the US market to exceed $10 billion in 2024.
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