German Machinery Exports Face Significant Risks Due to U.S. Tariffs

Over 50% of German machinery exports face potential disruption due to expanded U.S. tariffs on steel and aluminum, according to the VDMA, a key industry association. This comes as the U.S. recently imposed new tariff increases on these metals, impacting several machine-related products. The VDMA warns that this could lead to a 5% production decline in Germany’s mechanical engineering sector. This is because over half of machinery exports are now subject to tariffs, causing significant challenges for manufacturers.