Elon Musk has voiced support for a “zero tariff situation” and the creation of a “free trade zone” between the U.S. and Europe, calling it the ideal outcome amid rising global protectionism.
Speaking at a press event late Saturday, Musk said he hoped the U.S. and EU could “work together on fair trade with no barriers,” and floated the idea of a cross-Atlantic agreement eliminating tariffs entirely.
The remarks come just days after President Trump imposed sweeping new tariffs on Europe — including a 20% duty on EU goods and a 25% levy on all foreign-made vehicles — moves that have rattled markets and triggered sharp warnings from EU leaders.
Musk’s comments signal concern from major U.S. exporters about potential blowback from Trump’s tariff war. Tesla, which ships thousands of U.S.-made EVs to Europe each year, would be directly affected by Europe’s pending retaliatory tariffs — and already paused new shipments to Germany last week pending clarity.
“There’s a path forward that benefits both sides,” Musk said, adding that “tariffs make everything more expensive for consumers and harder for companies trying to innovate.”
While it’s unclear how seriously U.S. or EU officials will take the free trade idea, Musk’s push comes as other business leaders also begin to speak out against the widening tariff spiral.
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