President Donald Trump has announced plans to impose 25% tariffs on imported cars, pharmaceuticals and semiconductor chips.
The auto tariffs will take effect on April 2, a day after his cabinet presented a trade policy report.
According to Trump, the action is a response because US automakers face unfair competition, with the EU imposing a 10% tax on American cars compared to the US tax of only 2.5%.
Trump claims that the EU has agreed to lower the auto tariffs, although European lawmakers deny this.
He also plans 25% or more duties on imported drugs and chips, giving companies time to shift production to the US.
Since taking office, Trump has raised tariffs on goods from China, Mexico and Canada and imposed tariffs on steel and aluminum.
He is also considering reciprocal tariffs that match the foreign tax rates.
For information, the tariffs on cars were introduced in 2018 but were ignored.
