The US has already signed a trade deal with Japan and reports are suggesting that it is close to signing one with the European Union as well.According to the reports, there is a 15% tariff likely on the European Union, which is similar to what the US has imposed on Japan as part of its trade deal.
Sources of these reports mentioned that the European Union could agree to the 15% levy to avoid the escalation of tariffs to 30% that US President Donald Trump has threatened from August 1.
In case the deal does take place at the said levy, the tariffs on cars, which are a big export market for the European Union to the US, could fall to 15% from 27.5% that is currently in place.Here are four stocks you need to watch in case a deal does take place:
Sources of these reports mentioned that the European Union could agree to the 15% levy to avoid the escalation of tariffs to 30% that US President Donald Trump has threatened from August 1.
In case the deal does take place at the said levy, the tariffs on cars, which are a big export market for the European Union to the US, could fall to 15% from 27.5% that is currently in place.Here are four stocks you need to watch in case a deal does take place:
Tata Motors
As per the US-UK agreement, the tariff on automobile exports is already down to 10%, as the UK is not part of the European Union.However, Slovakia, which is a major plant for the high-end Jaguar and Rover, the tariff could come down to 15%.
33% of JLR’s volumes come from the US markets.
Samvardhana mother
The company supplies to OEM plants to Germany and Mexico that export to the US. The overall exposure of the US market is 6% to 7% of Samvardhana Motherson’s overall topline.
It Blw
The US market contributes to 43% the auto component manufacturer’s overall topline.
Bharat Forge
Exports to the US market form 35% to 40% of the company’s standalone export.
