| Time | Country | Event | Period | Previous value | Forecast | Actual |
|---|
| 09:00 | Eurozone | M3 money supply, adjusted y/y | February | 3.8% | 3.8% | 4.0% |
| 09:00 | Eurozone | Private Loans, Y/Y | February | 1.3% | 1.4% | 1.5% |
EUR gained against most of its major rivals in the European session on Thursday, as the currency market reacted mutedly to U.S. President Trump’s announcement of the 25% tariffs on auto imports.
U.S. President Donald Trump pledged on Wednesday evening that he would impose 25% tariffs on all automobile imports effective April 2.
Later, the White House said in the released fact sheet that Trump signed a proclamation to impose a 25% tariff on “imported passenger vehicles (sedans, SUVs, crossovers, minivans, cargo vans) and light trucks, as well as key automobile parts (engines, transmissions, powertrain parts, and electrical components), with processes to expand tariffs on additional parts if necessary”. According to the fact sheet, the U.S. leader’s action aims to protect and strengthen the U.S. automotive sector, which is vital to national security.
In response to the announcement, the European Commission’s (EC) president Ursula von der Leyen expressed deep regret for the U.S. decision and stated that the European Union (EU) “will continue to seek negotiated solutions, while safeguarding its economic interests.”
Meanwhile, Trump warned that “if the European Union works with Canada in order to do economic harm to the USA, large scale tariffs, far larger than currently planned, will be placed on them both.”
Regarding so-called reciprocal tariffs, expected to be announced on April 2, President Trump said that they will be on all countries, but that they will be very lenient. He added that in some cases, the tariff rate will be lower than what the country is currently paying.
Trump's 25% auto tariff poses a significant challenge for the EU’s struggling car industry.
The European Automobile Manufacturers’ Association (ACEA) said it is deeply concerned by the U.S. president’s decision, noting that it “comes at a watershed moment for our industry’s transformation and as fierce international competition mounts.”
The announcement of new U.S. tariffs prompted markets to increase their bets on the European Central Bank’s policy easing by the end of 2025. They now expect 56 basis points of easing this year, up from 51 basis points before the announcement.