U.S. President Donald Trump said he will raise tariffs on cars and trucks imported from the European Union to 25%, accusing the bloc of failing to comply with a previously agreed trade deal.

Axar.az reports, in a post on Truth Social, Trump said the measure would take effect next week and framed it as part of efforts to boost domestic manufacturing.

“I am pleased to announce that, based on the fact the European Union is not complying with our fully agreed to Trade Deal, next week I will be increasing Tariffs charged to the European Union for Cars and Trucks coming into the United States. The Tariff will be increased to 25%,” Trump wrote.

He added that vehicles produced in U.S. plants would be exempt from the tariffs.

“It is fully understood and agreed that, if they produce Cars and Trucks in U.S.A. Plants, there will be NO TARIFF,” he said.

Trump also pointed to major investments in the U.S. auto sector, claiming that “over 100 Billion Dollars” is being invested in new manufacturing facilities, which he described as a record level of commitment to American production.

“These Plants, staffed with American Workers, will be opening soon — There has never been anything like what is happening in America today,” he added.

The announcement signals a potential escalation in trade tensions between Washington and Brussels, particularly in the automotive sector, a key pillar of transatlantic commerce.