The US imposed 50% tariffs on EU steel and aluminium in June, requiring proof of material origin for finished goods.
Importers must now track steel and aluminium origins, creating extra costs on top of existing US tariffs.
Industries Struggle with Complex Compliance
The European Automobile Manufacturers’ Association said the “melt and pour” rule requires cooperation across multiple supplier tiers.
Many suppliers lack origin information, making compliance extremely difficult and time-consuming.
Parts containing steel, aluminium, and copper face multiple tariff categories, further complicating classification.
In August, the US expanded tariffs to 407 more products, including machinery, wind turbines, fire extinguishers, and construction materials.
Financial and Administrative Pressures Mount
ACEA warned that tariffs now affect generic materials critical to automotive production, though car-specific items remain mostly exempt.
Some automakers already face substantial financial impacts, and industry groups are still assessing overall costs.
EU cars already pay 15% tariffs under the EU-US trade agreement signed in August.
CECIMO said tariffs raise costs, create uncertainty, and increase administrative burdens for European exporters.
The EU failed to secure exemptions for steel and aluminium but hopes to negotiate tariff quotas to ease export pressure.