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Car manufacturers brought in European shares on Thursday after US President Donald Trump threatened to hit the EU goods with 25 percent of tariffs.
The Stoxx Europe Stoxx 600 fell 0.6 percent in early trading, while the German Blue-Chip Dax index, which includes several large exporters, fell by 1 percent.
Trump threatened on Wednesday During the first meeting of his cabinet since he took over his duty last month, saying that the EU was “formed to fuck the United States.”
“We made a decision and we will announce it very quickly,” Trump said when asked about his plans for EU tariffs. “It will be 25 percent generally speaking, which will be on cars and all other things.”
German Volkswagen and Mercedes-Benz fell by 2 percent, while Porsche lost 2.3 percent. The Paris-carrier of the Stellantis car dropped 2.3 percent.
European stock They climbed this year in part because the region has so far avoided the worst scenario of a commercial war.
“The latest headquarters are a reality check for the car sector and the wider EU market,” said Emmanuel Cau, an analyst from Barclays.
