Trump wants to clean up American streets from German cars

The administration of the tramp declares that the import of German cars, which accounted for 90% of the cars are premium in USA, harms the automobile industry of America.

The German company BMW owns the brands Rolls-Royce and BMW, Daimler Mercedes-Benz and Volkswagen in control of Bentley, Bugatti, Porsche and Audi.

German publication Wirtschafts Woche, citing anonymous diplomatic sources reports that during the April visit of the President of France Emmanuel Makron in the U.S., trump said that he intends to maintain a tough trade policy against Germany, while «German Mercedes-Benz will not disappear from 5th Avenue in new York.»

The administration of the trump opened a trade investigation on the issue of «threat of the import of German cars to the U.S. auto industry». It can become the reason of increase in import duties on up to 25%, as in the case with metals.

However, in America there are also many factories for the production of German cars. For example, the BMW plant in South Carolina, which last year released 804 thousand cars. For comparison: from Germany to 2017 were exported 657 thousand cars.

Analysts at Evercore ISI believe that such action on the part of the administration trump lead to losses of €4.5 bn for German automakers. At the moment the stocks of the automobile companies fell by an average 1%: BMW — 0.5% Daimler — 1%, Volkswagen — by 1.6%.