[Text/Observer Network Qi Qian] According to a April 7 report by German "Automotive News Weekly", affected by US tariffs, car manufacturers such as Audi of Germany and Jaguar Land Rover of the UK have suspended deliveries of vehicles to the US. The 25% tariff on imported cars imposed by the US came into effect on April 2. Additionally, EU countries and the UK are respectively facing "reciprocal tariffs" of 20% and 10% from the US.

The report said that Audi stated in an internal memo sent to US dealers that vehicles arriving at US ports on or before April 2 will be transferred to wholesale distribution and delivered to dealers as planned; vehicles arriving after April 2 should be "temporarily withheld".

An Audi spokesperson confirmed to the media on the same day that the company had sent a letter to US dealers instructing them to hold all vehicles arriving after April 2. The company also urged dealers to focus on reducing existing inventory. According to the spokesperson, Audi currently has more than 37,000 inventory vehicles in the US that are not affected by the new tariffs and can therefore be sold without restriction. These inventories are expected to last for about two months.

In an official statement, Audi said that the company is currently analyzing the impact of the US import tariffs on its business. "We are committed to providing our dealer network with the best possible support and strive to minimize the impact of tariffs on customers and trading partners."

"Automotive News Weekly" reported that Audi does not have its own production plant in the US and relies entirely on imports. Its popular model Q5 is produced in Audi's Mexican factory, while other models come from factories in Germany, Hungary, and Slovakia. In the first quarter of 2025, Audi's sales in the US fell by 3.4%, marking the fifth consecutive quarter of decline.

According to a previous report by the US "Wall Street Journal", Audi's parent company Volkswagen has also warned US dealers that Audi sales will face additional costs. The report said that Volkswagen has stopped rail transport from Mexico and US ports. New pricing is expected to be announced in mid-April.

All vehicles sold by Audi in the US are produced outside the country. Chart by German "Automotive News Weekly"

"Automotive News Weekly" reported that the British-based manufacturer Jaguar Land Rover has also temporarily halted deliveries of vehicles to the US.

A Jaguar Land Rover spokesperson said: "The US is an important market for the Jaguar Land Rover brand. We are taking short-term measures, including halting deliveries in April, while formulating medium- and long-term strategies to mitigate the impact of tariffs." Data shows that in the fiscal year ending March 2024, Jaguar Land Rover sold approximately 430,000 vehicles, nearly a quarter of which were sold in North America.

According to "Russia Today" (RT) reports, Trump's tariff measures have dealt a heavy blow to the auto industries of his European allies.

Analysts warned that the German automotive industry may be hit hardest, with Volkswagen and Mercedes facing significant challenges in the US market. Rising production costs and factory closures have already put pressure on Germany's automotive manufacturing sector. The German Association of the Automotive Industry called Trump's tariff policy "a catastrophic signal against free, rule-based trade."

"Automotive News Weekly" pointed out that, apart from Germany, the UK's automotive industry will also be severely affected. According to industry association data, the US is the second-largest export market for UK vehicles after the EU, accounting for nearly 20% of its sales.

As the Trump administration's tariffs continue to escalate, EU member states held a ministerial meeting on the issue in Luxembourg on April 7, marking the first full meeting of the EU since the US announced "reciprocal tariffs."

On April 7, von der Leyen spoke at the EU meeting. Visual China

The European Commission proposed a 25% tariff on some US imports that day and suggested mutual exemption of industrial product tariffs between Europe and the US. The relevant tariff measures are expected to take effect on April 15, but most tariffs are expected to start being levied in mid-May. Member states will vote on the proposal on April 9.

Vice-President of the European Commission responsible for trade and economic security Schinas said that the value of American goods targeted by this countermeasure is lower than the initial $28 billion, and the EU still hopes to negotiate with the US to cancel tariffs, but it is also ready to use all countermeasures.

Regarding the US auto tariffs, European Commission President von der Leyen said that Europe has "repeatedly" proposed a "zero-for-zero" agreement for the auto industry, but the US side "has not made an appropriate response." She warned that the EU will "use all available tools" to retaliate when necessary, including a "anti-coercion" tool launched in 2023 but never triggered, targeting the US technology and banking service sectors.

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