German Auto Industry Calls for Urgent Action on US Tariffs Despite EU Trade Deal
German Auto Makers Face Ongoing Challenges from US Tariffs
EU-US Trade Deal Approval and Its Significance
BERLIN, June 16 (Reuters) - The European Parliament's approval of Brussels' trade deal with the United States is important for German auto makers seeking clarity but trade barriers remain too high, with tariffs on trucks particularly steep, an industry body said on Tuesday.
Urgency for Formal Adoption by European Council
Germany's VDA automotive association said the approval of a EU-US trade deal must now be formally adopted by the European Council as a matter of urgency.
Impact of US Tariffs on German Automotive Industry
Challenges Posed by Current Tariff Rates
"Reliable operating conditions are of paramount importance to our companies," VDA President Hildegard Mueller said in a statement to Reuters, adding that current U.S. tariffs of 15% on passenger cars and their parts still pose a significant challenge for the German automotive industry.
Commercial Vehicle Manufacturers and Existential Threats
She also pushed for a solution for manufacturers of commercial vehicles, for whom the impact is "of existential importance" with a 25% tariff rate for trucks and an additional 10% for buses.
Broader Economic Consequences of Tariffs
"They also undermine investment and jobs in the U.S., weaken supply chains, drive up costs throughout the entire value chain, and will ultimately burden consumers as well," Mueller said.
(Reporting by Rachel More, Editing by Madeline Chambers)
