How do tariff disparities and trade policies between the U.S. and Europe create unfair competitive disadvantages for American auto manufacturers?

The significant tariff and tax disparities between the U.S. and Europe create a substantial competitive disadvantage for American automakers. When a $50,000 Cadillac is exported to Germany, it faces a 10% tariff plus a 19% VAT tax, raising its price to $65,000. Meanwhile, a BMW imported to the U.S. only faces a 2.5% tariff and benefits from a German VAT rebate, allowing it to sell for $42,000. This $23,000 price difference explains why Germany sells eight times more cars to the U.S. than America sells to Germany, contributing to a $230 billion trade deficit. Such unfair trade practices ultimately harm American workers and businesses by making U.S. products less competitive in global markets.