The European Union on Saturday (May 2, 2026) said that if the US takes any step contrary to their common trade agreement, it will keep all options open to protect its interests. The reaction comes after US President Donald Trump warned of a possible 25 percent tariff increase on cars and trucks imported from the European Union. A European Commission spokesperson told Chinese news agency Xinhua, “We are fully committed to a stable and mutually beneficial transatlantic relationship; however, if the US does not act in accordance with the joint statement, we will keep all options open to protect our interests.”
The spokesperson clarified that the EU is currently implementing its commitments under last year’s agreement in accordance with standard legislative procedures, and the US administration is being kept constantly informed throughout this process. Additionally, Brussels is seeking clarity from Washington regarding its own commitments under the agreement. Under the EU-US trade deal concluded last year, the EU agreed to suspend tariffs on US industrial products and impose tariff-rate quotas for agri-food products. In return, the United States promised to impose a 15 percent import duty on most European products.
Tariffs on cars and trucks coming from the EU
On Friday, Donald Trump announced he had increased tariffs on cars and trucks imported from the European Union to 25 percent. He accused the EU of failing to comply with existing trade agreements. Speaking before departure from Marine One, Trump said, “We have increased tariffs on cars coming from the European Union because they were not adhering to our trade agreement. This will cost the United States billions of dollars in revenue and force companies to rapidly relocate their production plants to the United States.” Trump further said that the move is intended to encourage global automakers to increase their investments within the US. He claimed that more than $100 billion worth of vehicle manufacturing plants are currently under construction in the United States—a figure he described as a record—which also includes investment coming from Japan, South Korea, Canada, and Mexico.
Tension between America and EU
The decision to increase tariffs is seen as a fresh flare-up in trade tensions between the US and the EU—particularly in the automotive sector, which has long been a point of contention between the two sides. Experts believe that if this dispute deepens further, it could have serious consequences on global supply chains and economic stability.