Trump raises EU auto tariffs to 25%, accusing bloc of violating trade deal

President Trump announced on May 1, 2026 that he would raise tariffs on European Union cars and trucks to 25%, accusing the EU of failing to comply with a trade framework agreed upon in July 2025 that had capped auto tariffs at 15%. European Commission President Ursula von der Leyen disputed the claim, saying the EU was implementing commitments "in line with standard legislative practice." The tariff increase threatened to add thousands of dollars to the price of European vehicles in the U.S. market, particularly luxury brands.