What are the European Union exports that reach more than a 50 % Trump tariff threat?

Photo of author

By [email protected]


Donald Trump’s threat to impose a 50 percent tariff on all exports from the European Union would provide a hammer blow to the main manufacturing sectors, including cars, space, chemicals, and other commodities.

The United States is the largest individual trading partner in the European Union, representing a little more than 20 percent of goods exports of more than 530 billion euros in 2024, according to numbers of the European Commission.

Germany, Ireland, Italy and France are the main exporters, according to the country. This includes more than 200 billion euros of machines and vehicles, 160 billion euros of chemicals and 25 billion euros of food and drink.

Maria Demertis, head of the Economy Strategy Center at the Conference Council thinking center in Brussels, said the impact of a 50 percent tariff will be “not sustainable”, especially for the open sectors as the United States was a major market.

Economic modeling was conducted when Trump imposed a 20 percent tariff last April that the customs tariff will reach the GDP of the mass by 0.2 percent. Demretis added that this will grow to 0.5 percent if a 50 percent tariff is imposed.

“The influence of the small macroeconomic economy is still relatively, although it will be large in some countries, such as Ireland, (which) depends more on exports to the European Union,” said Demretis. In terms of sectors, “the effects will be very large.”

Pharmaceutical goods

Medicines were the most exported goods from the European Union to the United States in 2024, with nearly 80 billion euros of drugs that are sold in the American market, according to Eurostat.

Natalie Mall, General Manager of the European Union for Industries and Pharmaceutical Associations, said that the group “is very anxious” about increasing trade tensions between Europe and the United States.

The definitions warned against creating a shortage of medicines and urged the United States and the European Union to avoid it in “all costs”. She said: “The definitions of medicines will not be less than a disaster for patients and () industry on both sides of the Atlantic Ocean.”

Until now, the drugs have been excluded from the so -called mutual definitions launched at the beginning of April, although Trump launched a 232th section of the national antiquities of national security of relying on foreign production. This can lead to definitions of the sector.

European pharmaceutical companies such as Novo Nordisk, Danish maker for obesity and Ozambek diabetes, and Sannovi, French drug maker, have great local manufacturing. But American pharmaceutical companies also built large manufacturing rules in the European Union, especially in Ireland, where they benefited from a lower tax rate.

Trump complained that Ireland “got the entire American pharmaceutical industry to understand it.” “We are not putting our own medications, and our own drugs anymore,” he said. “Ireland’s pharmaceutical companies are in many other places – China.”

outer space

Executive officials in the aviation industry have already warned of the high costs as a result of Trump’s main tariff by almost all countries. Since then, the industry has been pressing the White House, and arguing to return to the era of the customs tariff, which has been largely the current situation since 1979.

Boeing parts of Boeing and Airbus for new aircraft from different regions around the world. The American aircraft maker, who displays parts of its aircraft from countries such as Italy and Japan, is seen as a particularly exposed to Trump’s definitions.

Even before Friday’s announcement, Ryanair-the largest low-cost airline in Europe and one of the largest Boeing-warned that it may delay the delivery of aircraft if the tariffs make it more expensive.

Michael Olieri, CEO of Ryanair, said this month that the airline was closed in “discussion” with Boeing on any side that will receive customs tariff costs.

Speaking on Friday before the news of the definitions collapsed, Guillaume Faury, Airbus CEO, told London that “no one wants to pay customs tariff fees.”

Cars

Coordinator officials immediately criticized the European Union’s failure to reach an agreement with the United States to reduce the 25 percent definitions imposed on vehicles and foreign parts.

“The European Union has become more hated than China, which is confusing the mind. The European Union needs to come to the negotiating table with great urgency,” said Lin Caldr, CEO of INEOS Automotive, which manufactures its cars in France.

“Every other region in the world is mobilized, where is Europe? Their strategy has failed” nothing. “

The car industry was optimistic in recent weeks from reaching Brussels and Washington to an agreement on car imports, especially after the United States reached an agreement with the United Kingdom at a 10 % tariff rate.

The European Union is currently imposing a 10 percent tariff on US auto imports, while the United States receives only 2.5 percent.

“I don’t think the United States government is interested in closing the trade between Europe and the United States,” said Volvo Cars Håkan Samuelsson for the FT future for the auto summit last week, saying that the European Union should “restrict” definitions to the same level of the United States.

Oliver Zebisi, CEO of BMW, expected earlier this month that the Trump tariff for foreign cars will be reduced from July.

It is unclear whether the proposed definitions are 50 percent proposed, in addition to its 25 percent duties on car imports, or instead. Duties that exceed 25 percent will make car exports to be viable for European manufacturers.

The higher definitions will strike car makers such as Audi and Porsche with no manufacturing imprint in the United States, as well as Volvo cars, Mercedes Benz and others that export vehicles sold in the United States of Europe.

The United States is the second largest market for European Union exports after the United Kingdom. The European Union exported 757,654 new cars to the United States last year, at a value of 38.9 billion euros. He only imported 169,152 new vehicles from the United States, at a value of 7.8 billion euros, according to the European ACEA.

Food and drink

Although food and drink exports worth 25 billion euros to the United States are small compared to the main industrial sectors, they are loaded with political importance and are likely to be the goal of reprisals on both sides.

The value of bilateral trend in raw materials, components and final products is 40 billion euros. Many nuts, fruits and vegetables produced by the United States are listed on the list for the potential revenge by Brussels, while French champagne and Italian Parmigiano cheese are among the European products under the threat of anti -US measures.

Dirk Jacobs, the general manager of the food drink in Europe, which represents the sector, called for “canceling the escalation” to avoid the industry in the full Atlantic trade war.



https://www.ft.com/__origami/service/image/v2/images/raw/https%3A%2F%2Fd1e00ek4ebabms.cloudfront.net%2Fproduction%2F43ea52f7-7d04-4566-9c87-48136adcb681.jpg?source=next-article&fit=scale-down&quality=highest&width=700&dpr=1

Source link

Leave a Comment