German auto companies embraced greater clarity but warned that even the lower rate of tariffs agreed between Brussels and Washington would still hurt.

Following his meeting with the head of the European Commission, Trump declared that EU exports to the US would be subject to a baseline 15% tariff. EU leaders stand divided on the deal.

Now, Trump has reached a similar agreement with the European Union. In this latest deal, agreed upon in a meeting between Trump and European Commission President Ursula von der Leyen in Scotland, a lower 15% tariff will be imposed on most European goods, which includes new cars.