European Automakers Face Stock Decline Post-US Tariff Announcement

Following the imposition of a 25% tariff by United States President Donald Trump on non-US made cars, European automobile companies witnessed a significant drop in their share prices. The European Automobile Manufacturers' Association (ACEA) has raised concerns, stating that this decision will have a global impact, including adverse effects on the US economy.

Notable Declines in Major Automakers

At 12:50 pm CET, the market saw Stellantis NV fall by 3.93%, Mercedes-Benz Group AG by 3.22%, Bayerische Motoren Werke AG (BMW) by 2.09%, Volkswagen AG by 1.98%, and Ferrari S.p.A. by 1.85%.

Broader Market Impact

The DAX decreased by 0.79%, the CAC 40 by 0.50%, and the Euro Stoxx by 0.57%. Meanwhile, the FTSE 100 lost 0.76%. In currency markets, the euro and pound sterling saw gains against the dollar.