Denver news in your inbox

Catch up on the most important stories affecting your hometown with Axios Denver

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Des Moines news in your inbox

Catch up on the most important stories affecting your hometown with Axios Des Moines

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Minneapolis-St. Paul news in your inbox

Catch up on the most important stories affecting your hometown with Axios Minneapolis-St. Paul

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Tampa-St. Petersburg news in your inbox

Catch up on the most important stories affecting your hometown with Axios Tampa-St. Petersburg

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

German Chancellor Angela Merkel and President Donald Trump. Photo: Brendan Smialowski/AFP/Getty Images

Not every foreign leader is eager to play hardball with Trump. The Germans, in particular, are much more inclined to compromise. Angela Merkel badly wants a trade deal to prevent Trump from carrying out his threat to put 25% tariffs on car imports into the U.S., according to two senior European officials privy to internal discussions.

European Commission President Jean-Claude Juncker plans to meet Trump at the White House on Wednesday. And European officials tell me they expect him to come armed with proposals including a "plurilateral trade deal" that would involve the trade of cars and car parts — an obsession of Trump's.

  • The U.S. imposes tariffs of 2.5% on car imports, while the Europeans impose a 10% tariff on car imports. But the Europeans like to point out that the U.S. imposes a 25% tariff on light-truck and van imports.

Between the lines: Senior European officials have told me they're working under the assumption that Trump wants his car tariffs before the November midterm elections. So they're already discussing their retaliatory measures.

  • Trump is infuriated by Germany in particular. At lunch with Merkel last year when she visited Washington, Trump took her to task over the gusher of German car imports, when not enough American cars were selling in Germany.
  • According to a source at the lunch, Trump told her: "You guys are flooding our streets with German cars. I can’t go anywhere without seeing one. They’re flying up and down the streets here ... Do you have Fords and Chevrolets flying up and down streets in Germany too?"

Go deeper

Updated 2 hours ago - Politics & Policy

Coronavirus dashboard

Illustration: Sarah Grillo/Axios

  1. Health: Large coronavirus outbreaks leading to high death rates — Coronavirus cases are at an all-time high ahead of Election Day — Fauci says U.S. may not return to normal until 2022
  2. Politics: Top HHS spokesperson pitched coronavirus ad campaign as "helping the president" — Space Force's No. 2 general tests positive for coronavirus
  3. World: Taiwan reaches a record 200 days with no local coronavirus cases — Europe faces "stronger and deadlier" wave France imposes lockdown Germany to close bars and restaurants for a month.
  4. Sports: Boston Marathon delayed MLB to investigate Dodgers player who joined celebration after positive COVID test.
Dan Primack, author of Pro Rata
2 hours ago - Economy & Business

Leon Black says he "made a terrible mistake" doing business with Jeffrey Epstein

Photo illustration: Sarah Grillo/Axios. Photo: Rick Friedman/Corbis/Getty Images

Apollo Global Management CEO Leon Black on Thursday said during an earnings call that he made a "terrible mistake" by employing Jeffrey Epstein to work on personal financial and philanthropic services.

Why it matters: Apollo is one of the world's largest private equity firms, and already has lost at least one major client over Black's involvement with Epstein.

3 hours ago - World

Jeremy Corbyn suspended by U.K. Labour Party over anti-Semitism report

Photo: Christopher Furlong/Getty Images

The U.K. Labour Party has suspended its former leader, Jeremy Corbyn, after a watchdog report found that the party failed to properly take action against allegations of anti-Semitism during his time in charge.

Why it matters: It represents a strong break by Keir Starmer, Labour's current leader, from the Corbyn era and one of the party's most persistent scandals.