AsianFin -- Shares in Germany’s major automakers dropped on Monday after U.S. President Donald Trump announced plans to impose a 30% tariff on European Union imports starting August 1, without offering any exemptions for the auto sector, which is already subject to a 27.5% duty.

The tariff threat, which Trump reiterated over the weekend alongside a similar measure targeting Mexican imports, has heightened pressure on Brussels to negotiate a deal and avoid a potentially severe economic hit to the EU, particularly for its export-reliant industries like automotive manufacturing.