Trump EU temporarily "closed war" steel and aluminum tariffs are expected to solve the problem of car tariffs have not progressed

According to foreign media reports, US President Donald Trump said on July 25 that the United States and the European Union will endeavor to "solve" the import tariffs on steel and aluminum that exist between each other. Earlier, Trump decided to impose tariffs on steel and aluminum products imported from the EU. In retaliation, the EU intends to impose counter-trade tariffs on some US imports.

It is unclear whether the two sides have made substantial progress on the controversial issue of the United States' tariff increase on imported EU automobile products. However, European Commission President Jean-Claude Juncker said that during the negotiations, the two sides will not impose new tariffs on each other. Trump has threatened to impose a 25% tariff on imported cars and parts, a move that will seriously damage the interests of European automakers such as BMW and Volkswagen, as well as Japanese and Korean automakers.

In a speech at the Center for Strategic and International Studies, Juncker confirmed that as long as the negotiations continue, the United States and the European Union will not impose any additional tariffs on the other party, including tariffs on automobile products. He also said that the EU, like Trump, is concerned about the problems caused by overcapacity, illegal government subsidies and compulsory technology transfer in China's steel manufacturing, adding that “we all think it is necessary to The current rules are updated to meet the challenges of our time. But the only way to solve these challenges is to rewrite the rules together, rather than unilaterally tearing them up."

According to Reuters, General Motors, Ford Motor Co., and Fiat Chrysler Automobiles (FCA) have lowered their respective stocks as investors believe that escalating trade disputes may hurt sales and profits. Annual profit forecast.

GM said the company lowered its 2018 profit forecast due to the fact that the Trump administration imposed tariffs on imported steel and aluminum, which led to higher costs for steel and aluminum used in automobile production. The company's share price fell 4.6% at the close on July 25.

Ford Motor said that due to rising tariffs, the company will lose nearly 1.6 billion US dollars (about 1.2 billion pounds) in North America in 2018.

For the FCA, its Chinese market demand fell sharply in the second quarter (ie, one quarter before the import tariff cut in July), resulting in higher costs for incentive spending and increased car inventory. “The impact on Maserati is particularly evident,” FCA's new CEO, Mike Manley, said in a conference call.