MOSCOW, (Sputnik) – The European Union is ready to scrap duties on key US industrial exports to prevent more taxes on its car sales to the United States, German Economy Minister Peter Altmaier said in an interview out Sunday.
“We have already said we are ready to bring tariffs on important industrial products down to zero. This would eliminate accusations that US car tariffs are lower than EU ones”, he told Die Welt newspaper.eu tariffs
Altmeier said the European Union would offer US exporters other incentives, including sparing them the need to certify their products under EU laws.
Altmeier warned that a tit-for-tat tariff war between the two allies would hurt both economies. Germany has invested heavily in US car production, creating thousands of jobs. German cars made at US plants, he said, account for a bulk of US car exports.
US President Donald Trump said in May he might slap tariffs of up to 25 percent on EU cars and auto parts but postponed the decision until November.
The war of tariffs between the US and European Union broke out last year when US President Donald Trump imposed higher taxes on steel and aluminium imports. Europe responded with counter-tariffs on a number of US goods.
In July 2018, Trump and European Commission President Jean-Claude Juncker agreed to work toward zero tariffs, zero non-tariff barriers, and zero subsidies on non-auto industrial goods.