Trump's tariffs: Mechanical engineering suffers more and more

Berlin. Tariffs on imports to the US are increasingly burdening the mechanical engineering industry, according to industry sources. The additional 50 percent tariff on steel and aluminum is being levied on a growing number of products. The German Mechanical Engineering Association estimates that 30 percent of EU machinery exports are now affected, as reported by the "Handelsblatt." These include engines, pumps, industrial robots, and agricultural and construction machinery.

“For many of the affected companies, this means that their US business is facing collapse,” said the association’s foreign trade expert, Oliver Richtberg.

At the end of July, the EU and the US reached an agreement in principle to defuse the tariff conflict. The agreed tariff rate for most imports, including cars, semiconductors, and pharmaceutical products, is to be 15 percent. However, tariffs on steel and aluminum remain at 50 percent.

"The tariff deal has already lost its value for mechanical and plant engineering," Richtberg said. "The flat-rate 15 percent rule is effectively undermined by the tariffs on steel and aluminum products." In a letter to EU Commission President Ursula von der Leyen, which was made available to the Pro-Newsletter Industry & Trade of the news magazine "Politico," the association demands renegotiations.

RND/dpa