Trump Threatens to Hike EU Car Tariffs to 25% Again, Ignores Legal Limits

President Donald Trump declared on Truth Social that he will raise tariffs on European Union cars and trucks to 25%, citing alleged EU noncompliance with a trade deal. Yet he offered no clarity on what legal authority he plans to invoke for this tariff hike, raising serious questions about the legitimacy of the move.

Trump’s tariff crusade has already faced a major setback. In February, the Supreme Court ruled 6-3 that the International Emergency Economic Powers Act (IEEPA), which the administration used to justify its “reciprocal” tariffs, does not authorize the president to impose such duties. This decision effectively invalidated a substantial portion of Trump’s tariff agenda.

In response, Trump issued an executive order establishing a 10% “global tariff” under Section 122 of the Trade Act of 1974, with a 150-day expiration. He later announced plans to increase this rate to 15%. The EU warned that these tariff moves jeopardized their trade deal with the U.S., delaying their vote on the agreement in February.

The administration’s existing 25% tariffs on vehicles and auto parts, justified under national security grounds via Section 232, remain in place. European automakers like Mercedes, BMW, and Volkswagen, which import many vehicles from their European plants, stand to be hit hardest by any tariff increases.

This latest tariff threat underscores the Trump administration’s pattern of economic brinkmanship and disregard for legal checks. Tariffs have sparked trade wars, raised consumer prices, and strained relationships with key allies. Yet Trump continues to wield tariffs as a blunt political tool, ignoring both the law and the damage to American workers and consumers.

We will keep tracking these reckless moves, exposing the corruption and authoritarian overreach behind the administration’s trade chaos. The American people deserve transparency, accountability, and policies grounded in law — not impulsive tariff tantrums that undermine our economy and democracy.