U.S. has not ruled out tariffs on imported cars, commerce chief says

U.S. Commerce Secretary Wilbur Ross said on Tuesday the Trump administration has not ruled out imposing tariffs on imported cars, after letting a review period end in November with no action.

“We’ve been having negotiations with the individual companies. We’ve had some very good benefits from that,” Ross told Reuters in New York. “It may or may not turn out that there is any need for the tariff.”

Ross said it was theoretically possible that Washington could use tariffs authorized by the World Trade Organization under a separate case over aircraft subsidies to impose tariffs on European car imports. But he declined to say if the administration was examining that possibility.

Ross said Tuesday the EU imposes a 10 percent tariff on U.S. cars, while the U.S. imposes a 2.5 percent tariff on EU cars.