Tariffs birth a new, less globalised automotive industry

In July 2025, the EU and Japan separately struck new trade framework agreements with US President Donald Trump. In principle, these promised to lower tariffs on automotive imports from 27.5% and 25% respectively to 15%. While the terms have received criticism for their asymmetry and primarily benefitting the US, many were relieved that a degree of certainty had at least been restored to a vital global market.