U.S. President Donald Trump has until November 13 to decide whether to apply new duties on European carmakers. This after Trump argued in May that U.S. imports of European autos pose a national security threat to the U.S.
“Trump will ruffle a bit, but there will be no automobile tariffs” Juncker told the German newspaper, according to Google translate.
The trade relationship between the U.S. and the EU has been tense since Trump came to power and ended negotiations for a trade deal with Europe that the previous U.S. administration was conducting. Furthermore, last year, Trump announced steel and aluminium tariffs on Europe. The EU retaliated a few months later with duties on 2.8 billion euros of U.S. goods.
Nonetheless, CNBC reported that EU Trade Commissioner Cecilia Malmstrom and Robert Lighthizer, the U.S. trade representative, had been in contact over transatlantic trade last month during a phone call – the first since the last round of U.S. tariffs on Europe.
U.S. Commerce Secretary Wilbur Ross also told the Financial Times last month that new talks with Europe could be an alternative to imposing these new car duties in November.
The White House was not immediately available when contacted by CNBC Friday morning.