In response to EU statements regarding a WTO reference against U.S. section 232 metals tariffs, President Trump has threatened to apply a “Tax on their Cars”. The U.S. imports 4.8x as many vehicles from the EU as it exports, putting the EU in a similar position to Japan and South Korea in running an “automotive surplus” vs. the U.S. Imports from the EU rose 3% in 2017 – reaching the second highest on record in December – whereas U.S. exports to the EU fell by 11%. That’s likely due to increased U.S. purchased of foreign cars rather than a “beat the tariff” rush. A 5% tax o...