FROM BAD TO WORSE

Trump: Trade War? I'll Show You a Trade War

The president threatens to slap a new tax on cars imported from the EU in response to a backlash over his new steel tariffs.

President Trump on Saturday threatened to impose a new tax on cars imported from the European Union in response to news the European Union was considering retaliatory taxes on U.S. goods for his proposed steel tariffs. “If the E.U. wants to further increase their already massive tariffs and barriers on U.S. companies doing business there, we will simply apply a Tax on their Cars which freely pour into the U.S.,” Trump wrote on Twitter. “They make it impossible for our cars (and more) to sell there. Big trade imbalance!” he said. The threats mark the latest fallout since the president on Thursday announced new U.S. tariffs on imported steel and aluminum imports, a move that was roundly panned by world leaders and the World Trade Organization. European Commission President Jean-Claude Juncker on Friday said the EU would slap tariffs on Harley-Davidsons, Kentucky bourbon, and blue jeans if the U.S. goes through with the plan.