ACEA Urges Swift EU–US Trade Deal To Safeguard European Auto Exports

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The European Automobile Manufacturers’ Association has called for the rapid conclusion of negotiations on a proposed EU–US trade agreement, warning that delays could undermine competitiveness and export momentum across Europe’s automotive sector.

The industry body’s appeal comes ahead of trilogue discussions scheduled for May 6, where the European Parliament, the Council of the European Union, and the European Commission are expected to align on the final legislative framework.

ACEA said a swift agreement would provide regulatory clarity and unlock tangible benefits for European automakers, particularly in maintaining access to key export markets. The association pointed to what it described as a strong political consensus within the European Parliament, alongside constructive engagement from member states, as a foundation for timely progress.

The United States remains a critical destination for European carmakers. It is the second-largest export market after the United Kingdom, accounting for 18.4 percent of total EU vehicle exports in 2025. Around 670,000 vehicles were shipped from Europe to the U.S., with a combined value of €31 billion.

The data underscores the scale of transatlantic automotive trade, which is increasingly intertwined with broader industrial strategy. ACEA highlighted that European manufacturers also produce roughly 830,000 vehicles annually within the United States, with between 50 percent and 60 percent of that output exported to other markets, including re-exports back to Europe.

The association emphasized that stable trade relations are essential to sustaining this two-way flow of goods and investment, particularly as supply chains grow more integrated and capital-intensive.

The shift toward electrification is also shaping export dynamics. Battery electric vehicles accounted for 12 percent of EU exports to the United States in 2025, representing more than 80,000 units and nearly €4 billion in value. ACEA said this reflects both rising demand for low-emission vehicles and the need for aligned regulatory frameworks across major markets.

Beyond trade, the automotive sector remains a cornerstone of the European economy. It supports approximately 13.6 million jobs, equivalent to 8.1 percent of total manufacturing employment across the EU. The industry contributes more than 8 percent of the bloc’s GDP, generates a trade surplus of €93.9 billion, and accounts for €84.6 billion in annual research and development spending.

Against this backdrop, ACEA warned that prolonged uncertainty could weigh on investment decisions and weaken the region’s global standing amid intensifying competition from other manufacturing hubs.

The association urged policymakers to reach a compromise quickly, arguing that a clear and stable trade framework would not only support exports but also strengthen innovation, industrial resilience, and long-term competitiveness.

With inputs from WAM