Retrospective Power from August 1st for US duties 15% demands that European industrialists hope

To improve the ‘mixture’ of the trade agreement USAEU European industrialists are pushing before the existing ink dries.

It is recalled that on Thursday 21 August 2025 was announced The final text of the US -EU agreement on the duties between.

Although European industrialists generally welcomed the agreement on the duty of duties (as 15% are lower than the threatened 30% or even 50% while finally a brake on the uncertainty created by Trump), it does not mean that they do not sit on “burning charcoal”.

That is why the EU is seeking retroactive power for the 15% rate from August 1, while German industrialists are demanding a reduction of below 15%.

Critical 27 August 2025

Next Wednesday, August 27, the Commission plans to submit a legislative proposal to reduce EU duties to industrial products from the US to zero.

In this way, it seeks to force the US to reduce their duties in cars from current 27.5% to 15% with retroactive power from August 1, 2025, according to Handelsblatt.

Bernd Lange (Berd Lagge), chairman of the EU Commerce Committee, confirmed that Koiion intends to submit two legislative proposals on Wednesday, including one “to reduce US duties from US industrial products to zero” – according to Lange duties.

In fact, the US should have already reduced their duties for cars with the entry into force of the 15% single duty for EU products on August 1, 2025 – as US President Donald Trump and the European Parliamentary Committee Chairman Ursula Ursoula. However, shortly afterwards, Trump defamed the deal and raised new demands in the EU.

In the last four weeks, European and US negotiators have agreed to new negotiations that the EU will unilaterally reduce its duties in zero industry, so that the US would eventually reduce their duties in cars.

During her meeting with Trump, von der Layen had promised a reduction in EU duties, especially for cars and industrial products. However, the EU wanted to offer this reduction only as part of a broader future trade agreement, for which the US would have to reduce duties for other EU products – especially for alcoholic beverages, steel and aluminum and their share of the US 50%.

Criticism by the European Parliament

At the presentation of the agreement, a senior EU official had stated that the US had promised the EU “immediate tariff relief” for cars since August 1, but that the EU should not reduce its duties for the time being. “To put it more clearly: we receive immediate tariff relief, but we do not yet reduce our duties.” This will only happen in the context of a more comprehensive and legally binding agreement that must still negotiate. Now, the EU must abolish its duties immediately and without additional return.

However, the European Parliament and the European Council must approve the reduction of duties. The Chairman of the Commerce Committee, Mr Lange, said the European Parliament would consider the proposal very carefully and not process it with an emergency process.

Lange mainly criticized the fact that, despite the EU duties agreement, the US has decided in mid -August to expand their steel and aluminum duties to more than 400 products made of these materials.

Even with the so -called agreement, there is no credibility for the EU, according to Lange. “The US is still playing with the potential to further burden us.”

US imposes additional duties for industrial products

By the US decision on August 15, the tariff rate for industrial products in the US is dramatically increasing. This is made clear with the example of EU motorcycles:

By April, motorcycles in the US were subject to a 2.5%duty rate.
As of August 1, EU motorcycles are subject to a basic tariff rate of 15%.

Since August 15, the US has imposed an additional 50% on steel and aluminum content, a total of about 30%.

“In the future, EU motorcycles will be subject to 30% duties in the US. US motorcycles are subject to 0% duties in the EU, “Lange said. “It is difficult to understand that we need to provide a competitive advantage to US industrial products, while the US is increasing their duties precisely for these products.”

Automakers are pushing for further US duties reductions
For German car manufacturers BMW, Mercedes and Volkswagen, the arrangement would bring at least clarity after weeks of uncertainty. However, terms have been significant deterioration in relation to the rules that have been in force for decades. By April, European car manufacturers had to pay only 2.5% of US import duties. On the contrary, a 10%duty imposed a duty for US cars in Europe.

Hildegard Müller, president of the Automotive Union (VDA), showed relief after recent talks between EU and US leaders, but also said: “Long -term, the goal must be to return to a lower duty rate.”

Volkswagen, Europe’s largest automotive industry, also welcomed the European Commission and the US Government’s joint statement on Thursday. “This is an important step in achieving binding and, therefore, programming security for important factors on the imports of the Group of the Group in the US.”

In order to obtain a 15% proposed duties for EU imports from the US from August 1st, “the European Commission should immediately begin the necessary legislative procedures in order to avoid higher burdens for businesses”. This is exactly what has happened now.

“There is now hope that it will be possible to retroactively achieve the lower 15%duties,” a spokesman for the industry in the Handelsblatt newspaper told the industry. However, in political assessment, Trump prevailed. “The EU will reduce its import duties, which is exactly what the US wanted to achieve.”

On Monday, the leaders of the 27 EU commissioners will meet in Brussels, while on Wednesday, the chairman of the Commission, Ursula von der Leyen, will meet with the 26 EU commissioners. There is expected that the team will approve a proposal for a corresponding regulation, which is expected to reduce their duties. The parliamentary process in Europe will then begin.

However, US duties are expected to be reduced already on Wednesday – retroactively for August, as it is hoped.

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