| 1:02 PM EST

Trump Revives Threat of Tariffs on European Cars

Lobster tiff prompts U.S. to revive tax threats


Facebook Share Icon LinkedIn Share Icon Twitter Share Icon Share by EMail icon Print Icon

Cars made in Europe are in the White House’s trade sanction crosshairs again.

President Donald Trump made a threat on June 5 that he will impose an unspecified tariff on imported cars from the European Union “equivalent” in value to the bloc’s existing duties on American lobsters.

Trump added that the White House is looking into similar sanctions for unspecified Chinese goods unless the country removes its tariffs on U.S.-sourced lobsters.

Peter Navarro, the White House trade advisor, will head the negotiations as America’s “lobster king,” according to Trump.

Simmering Issues

The lobster tiff with the EU came up last year, when U.S. Trade Representative Robert Lighthizer proposed a side deal with the bloc to ease its taxes on American lobsters, Reuters reports. That idea went nowhere.

U.S. trade talks with the EU have been mired for months. Negotiations with China haven’t budged since January, when the two countries announced a mini-trade deal focused on American farm goods.

Trump has been threatening for more than a year to boost U.S. duties on all foreign-sourced cars to 25% from the current 2.5%. He delayed that step again in November. The White House has claimed that imported vehicles pose a national security threat by lowering America’s manufacturing base.

Related Topics


  • Suzuki Refines Hayabusa Engine

    When Suzuki developed the GSX1300R, it set out to build the fastest mass-production motorcycle on the market. As competitors gained ground and stringent emission regulations were set, Suzuki set out to reinvent the bike.

  • Truck vs. Truck; Steel vs. Aluminum

    According to Sandor Piszar, Chevrolet truck marketing director, “We engineer and build our trucks with customers’ expectations in mind.”

  • Designing the 2019 Ram 1500

    Ram Truck chief exterior designer Joe Dehner talks about how they’ve developed the all-new pickup. “We’ve been building trucks for over 100 years,” he says. “Best I could come up with is that this is our 15th-generation truck.”