European stocks fall on auto tariffs

European stocks fell sharply on Thursday as global markets were affected by US President Donald Trump’s announcement of new auto tariffs.

The regional STOXX 600 index fell 0.81% to 544.50 points, while the STOXX Europe Auto Index fell 3.3% in early trading.

Shares of Stellantis, the maker of Jeep vehicles, fell 5.2% by 8:27 a.m. London time, while Mercedes-Benz shares fell 5%, and German BMW shares fell 4.4%. According to CNBC, Trump announced on Wednesday that he would impose a 25% tariff on all cars not manufactured in the United States, indicating that these duties would take effect on April 2.