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EU Signals Readiness as Trump Threatens New Tariffs on European Cars
Ursula von der Leyen said on Tuesday that the European Union is prepared for all possible outcomes after Donald Trump warned of potential tariff increases on European car imports, escalating tensions between the two sides.
Speaking to reporters during a visit to Yerevan, von der Leyen rejected claims that the EU had failed to uphold a previously agreed trade arrangement with the United States. She stressed that both parties remain committed to the terms of the deal reached last year.
“A deal is a deal, and we have a deal,” she said, adding that implementation is ongoing on both sides in line with their respective democratic systems.
Trump’s threat to impose higher levies on European vehicles has raised concerns among policymakers and industry leaders, as such a move could disrupt one of the most significant trade relationships in the world. The automobile sector is a key component of transatlantic commerce, with billions of dollars in exports flowing between the United States and EU member states each year.
European officials have pushed back against the accusation that the bloc is reneging on its commitments. According to EU representatives, the agreement is being carried out as intended, though differences in regulatory processes and legislative timelines may affect the pace of implementation.
Von der Leyen’s remarks signal that Brussels is preparing for a range of responses should Washington move forward with new tariffs. While she did not outline specific countermeasures, her statement suggested that the EU is closely monitoring developments and is ready to act to protect its economic interests.
The renewed dispute comes at a time when global trade conditions remain uncertain, with governments balancing domestic economic priorities against the need for stable international partnerships. Analysts warn that any escalation between the United States and the EU could have wider implications for global markets, particularly in manufacturing and supply chains.
European carmakers, many of which rely heavily on exports to the US, could face increased costs and reduced competitiveness if tariffs are raised. Industry groups have already urged both sides to resolve differences through dialogue rather than unilateral measures.
Despite the tension, EU officials continue to emphasize cooperation and adherence to existing agreements. Von der Leyen’s statement underlined the bloc’s position that negotiated deals must be respected, even as political pressures on both sides shape the direction of trade policy.
The situation remains fluid, with further developments expected as discussions between Washington and Brussels continue.
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EU Must End ‘Naivety’ on Trade and Confront China’s Industrial Strategy, Says French Minister
France’s Minister for Foreign Trade, Nicolas Forissier, has called on the European Union to abandon what he described as “naivety” in its approach to global trade, urging a tougher stance on countries accused of distorting markets through industrial policy and trade practices.
Speaking in an interview with Euronews’ 12 Minutes With programme, Forissier said Europe must respond more firmly to what he described as the weaponisation of trade dependencies, warning that China in particular could damage its own long-term interests by undermining European industry.
“The Chinese have to understand that they won’t win anything if they destroy the European industry and then the European market, which is an essential market for them,” he said. “We must no longer be naive.”
His comments come as the European Commission prepares to hold an “orientation debate” next week on how to respond to a surge of low-cost Chinese imports. The discussion is expected to shape possible new trade defence measures, with further talks likely when EU leaders meet in Brussels in mid-June.
Forissier said the shift in thinking was not limited to China alone but applied to any country using commercial leverage to gain strategic advantage. “It is not only China,” he said. “It is all the countries that weaponise trade.”
Among the proposals under consideration is a requirement for EU companies to diversify supply chains, sourcing components from at least three different suppliers in order to reduce dependency on any single foreign market. Asked whether he supported such a measure, Forissier replied: “Yes, we have to.”
Other options include targeted tariffs on sensitive industries such as chemicals, alongside stronger use of anti-dumping and anti-subsidy tools to counter imports priced below domestic market levels. These measures are designed to address concerns over overcapacity in China’s industrial sector and its impact on European manufacturers.
The debate is taking place against a backdrop of widening trade imbalances. EU goods imports from China exceeded exports by €359.3 billion in 2025, marking an increase of nearly 20% compared with the previous year.
China has already warned it could retaliate if the bloc imposes new restrictions, raising concerns about potential escalation in trade tensions between two of the world’s largest economies.
France has repeatedly pushed for a more assertive European trade policy, arguing that state subsidies, export controls on raw materials and industrial overproduction in major economies are distorting global markets.
Forissier stressed that Europe must maintain open dialogue with Beijing while defending its own industrial base. “We try to respect the Chinese,” he said. “The Chinese have to respect us, and this is the message European institutions have to send.”
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