Trump Tariffs Threaten German Auto Industry with Billion-Dollar Losses

 In May 2026, the Kiel Institute warned that increased US tariffs to 25% could cost Germany 15 billion euros in production volume. Spring 2026 analysis suggests these measures will severely impact Germany’s stagnant growth, with long-term losses potentially reaching 30 billion euros. Economists in May 2026 highlighted that Italy and Slovakia would also suffer, while the EU seeks to protect supply chains from escalating trade tensions.