Economics

Trade War Heats Up as EU Vows to Retaliate on U.S. Auto Tariffs

  • EU ready to hit back with duties on $23 billion in U.S. goods
  • Merkel says it’s a ‘shock’ to suggest German cars are a threat
U.S. Rhetoric Is Hurting Trade, Sentiment, UniCredit Says
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The European Union vowed prompt retaliation if the U.S. follows through on a threat to impose tariffs on imported vehicles, as trans-Atlantic trade tensions showed no signs of easing.

If European exports are hit by U.S. actions, the EU will “react in a swift and adequate manner,” Margaritis Schinas, a spokesman for the European Commission, told reporters in Brussels on Monday -- a day after President Donald Trump received a report on the national-security implications posed by auto imports.