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German Industry Criticizes Trump's Threat of Car Tariffs, Urges Negotiation

The German car industry criticized U.S. President Donald Trump's proposed 25% tariffs on car imports as a "provocation," urging the European Union to negotiate with its largest export market.

Hildegard Mueller, president of the VDA, stated, "Tariffs as a negotiating instrument are the wrong tool, with the risk of sparking a global trade conflict and harming the economy."

Volker Treier, from the German Chamber of Commerce and Industry (DIHK), emphasized that Trump's proposed tariffs would severely impact Germany's automotive sector, which is already facing challenges.

German car exports heavily rely on the U.S., with 13% of exports going there, and the industry providing 138,000 jobs in the country.

Treier cautioned that escalating tariffs between the U.S. and the EU would have grave economic repercussions, stressing that protectionism impedes growth on both sides of the Atlantic.

Auto industry leaders propose reducing U.S. car import tariffs to 2.5% from the current 10%, urging a resolution to avoid further trade tensions.