Tariff Delays Continue to Disrupt U.S. Auto Imports Despite EU Agreement

Despite a formal U.S.–EU agreement to reduce import tariffs on European vehicles, no executive action has been taken to implement the change — and the impact on automotive imports into the U.S. is growing.

According to Wallenius Wilhelmsen, a global vehicle shipping provider, European automakers such as BMW, Mercedes-Benz, and Volvo are still facing a 27.5% import tariff when shipping to the United States. The reduced 15% tariff, agreed in principle last month, cannot take effect until it is backed by an executive order — which has yet to be issued.

As a result, auto shipments from Europe into the U.S. slowed significantly in Q2, with only modest recovery seen toward the end of the quarter. The delay has left logistics providers, OEMs, and retail dealerships in limbo as they try to plan around an uncertain regulatory environment.

While the agreement is still expected to be formalised, the lack of action is causing real-world delays in vehicle flow — particularly for import-heavy brands. Dealerships that rely on a consistent supply of European inventory are feeling the impact most acutely, especially in markets with high demand for luxury or performance vehicles.

Some OEMs have paused or staggered shipments, wary of being exposed to inflated tariff costs while the reduced rate remains unenforceable. This has created added pressure on forecasting, pipeline management, and customer delivery timelines across the dealership network.

Although the issue centres on global trade, the ripple effects are being felt inside the dealership. In some regions, operators are choosing to pause or delay recruitment for variable ops roles tied directly to inventory volume.

However, dealerships that are planning ahead are using this period to reinforce fixed ops teams, secure skilled technicians, and build hiring pipelines that can respond quickly when inventory flows normalise.

At Holt Automotive Staffing, we’re working with dealerships across the U.S. to help adapt workforce plans in response to shifting supply. Whether that means interim service support, prepping for volume recovery, or securing experienced advisors before competition rises — this is a moment for proactive, not reactive, hiring.