The US is moving forward with its plans for tariffs on EU cars.

The US trade representative, Jamison Greer, told European Union trade officials and Germany over the weekend that the United States would go ahead with the president’s, Donald Trump, plan to increase tariffs on car imports to 25%, according to a statement made Monday 4/5/2026 to CNBC.

“I was in contact with European and German trade officials this weekend to help them understand why this was happening and to remind them of all the discussions we’ve had about their compliance,” Greer said in an interview with CNBC. “I will continue to have those conversations, but the president is moving forward with this action,” he added.

Asked whether the tariff should be seen as just part of a broader negotiation or a permanent situation, Greer replied: “It’s a part of the deal.”

The US president said on Friday 1/5/2026 that he would increase tariffs on cars from the European Union to 25 percent this week from a previously agreed 15 percent, sayingthe union had not complied with its trade deal with Washington.

The European Commission rejected Trump’s claim that Brussels was not complying with last summer’s trade deal and said will keep its options open to protect EU interests if Washington violates the terms of the deal.

Trump withdrew the tariffs amid escalating tensions between the US and the EU over the war in Iran and European countries’ refusal to send naval troops to open the Sea of Hormuz. The White House said Friday that it plans to withdraw 5,000 US troops from Germany after German Chancellor Friedrich Murch said the US was “humiliated” by Iran in talks to end the Middle East conflict.

The Trump administration last year imposed a 25 percent tariff on global auto imports under a national trade security law, but reached a separate deal with the EU in August to reduce those tariffs to a net 15 percent, including the previous tariffs.

German carmakers’ shares retreated on Monday after the US president’s decision to raise US tariffs on imported European cars to 25% from the previously agreed 15%, dealing a fresh blow to the already battered industry.

The pan-European auto and parts index had fallen 2.3 percent by midnight Monday in London, while shares in Porsche, BMW, Mercedes-Benz and Volkswagen had fallen 2 percent to 3 percent.