US car tariffs not to impact Slovakia significantly

If the announced introduction of US tariffs of 25% on cars from the EU tariffs are really implemented, a certain impact will be felt also by Slovakia, although not a significant one, thinks the Slovenská Sporiteľna bank analyst Katarína Muchová. According to her, "last year, for instance, 20% of overall exports from the Bratislava-based Volkswagen factory went to the United States. However, these are mostly luxury vehicles, in a category where sensitivity to price is not as pronounced as it is for cars in the lower price range. Therefore, the impact is not likely to be so notable," A similar view is espoused by Economic and Social Analysis Institute (INESS) analyst Radovan Ďurana, who perceives the tariffs as an unfortunate policy. "Its risk lies in the fact, however, that it might herald the beginning of a trade war," said Ďurana.