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Germany's Merz eyes car tariff offsetting mechanism after Trump talks
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Germany's Merz eyes car tariff offsetting mechanism after Trump talks
Jun 6, 2025 3:09 AM

BERLIN, June 6 (Reuters) - German Chancellor Friedrich

Merz said on Friday that he would pursue a deal under which U.S.

cars could be imported into Europe duty free in exchange for

tariff waivers on the same number of vehicles exported to the

U.S.

Speaking at an event in Berlin just hours after his

inaugural trip to Washington for talks with U.S. President

Donald Trump, Merz said: "We have to see if we can come up with

an offset rule or something along those lines."

"We agreed that we will have two representatives between the

White House and the chancellery who will now talk intensively

with each other about German-American trade relations," he

added.

He said trade negotiations with the U.S. remained within the

remit of the European Union, however, and that later on Friday

he would speak to EU Commission President Ursula von der Leyen

to brief her on the outcome of his talks with Trump.

The news comes after sources told Reuters last month that

Mercedes-Benz and German rivals BMW and

Volkswagen were in talks with Washington over a

possible import tariff deal.

Mercedes-Benz CEO Ola Kaellenius told Spiegel in an

interview on Thursday that such a mechanism could act as a

precedent for other industries.

(Writing by Friederike Heine

Editing by Ludwig Burger)

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