Trump has repeatedly singled out German auto imports to the United States for criticism.

The Commerce Department of the United States has decided to hold public comments for two days regarding its probes of auto imports. The president of the United States, Donald Trump has repeatedly signed out imports of German auto imports to the United States for criticism. On the 11th of May 2018, the US president mentioned in a meeting with auto manufacturers at the White House that he has decided to impose tariffs of about 20 to 25 percent on some imported vehicles and he also sharply criticized the automotive trade surplus of the German nation with the United States. The United States presently imposes a 2.5 percent tariff on imported passenger cars from the European Union and about 25 percent tariff on the imported pickup trucks. On the other hand, the European Union imposes a ten percent tariff on cars imported from the United States of America.

The proposal of the tariffs has resulted in a very sharp condemnation from Republican lawmakers and business groups. A group that represents major US and foreign automakers stated that it was very confident that vehicle imports do not pose a risk to national security. The US Chamber of Commerce has clearly noted that the auto production in the United States has doubled over the past decade. These proposed tariffs would actually result in a staggering blow to the auto industry which it appears to protect and would be actually threatening for the ignition of a global trade war. Therefore, this has remained a matter of great concern for the United States which needs to be addressed properly. Eventually, it could possibly have a negative impact in the country and hence it is a matter of concern.

Volkswagen AG, BMW AG and Daimler AG are all leading auto manufacturers of the nation of Germany who build the vehicles at plants in the United States of America. BMW is actually one of the largest employers in South Carolina with a total of more than about 9,000 workers in the state. Therefore, the tariffs if imposed will have a significant effect on the employment of the United States as well. In 2017, the United States accounted for about 15 percent of BMW and Mercedes-Benz brand sales worldwide. Meanwhile it accounts for a total of 5 percent of the Volkswagen brand sales and 12 percent of the sales of Audi brand.

November 19, 2018 - 09:33
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