The announcement was that US cars can enter the European Union without a tariff. European cars receive 15% tariff when they enter the US.
Tax is something different. Sales to private customers (B2C) are always with tax, to companies providing a VAT number (B2B) without tax. Taxes vary between the countries. When I sell to Norway, for example, which is not part of the European Union, I need to check lists. There are products free of tax, while others are not.
The easy and short form is (but it can become more complicate):
Do I sell to a private EU citizen, I need to apply the German VAT tax (19%),
Do I sell to a company within the EU which provides a VAT ID I do not apply a VAT tax.
Do I sell to anybody not an EU citizen I do not apply a VAT tax.
A tariff is applied always and it has to be payed when entering the country to the local customs officials by the buyer. When I buy something in the UK I pay a tariff (which is as high as the VAT). As long as I sell a product, I have payed VAT for, to customers, I get the VAT I paid back from the tax office. I do not get back a tariff. That is just a simple explanation. In reality it is far more complicated. That's why I do most of my business within the EU. I only sell to the outside of the EU in special cases. However, the UK is different, there we have established delivery chains, so I regularly sell to the UK.
AWo
