From cars to steel, luxury to agriculture: companies are experiencing Trump's tariffs with resignation and fear.

The new 15% US tariff on European imports has left a bittersweet taste in most affected sectors: on the one hand, it puts an end to the uncertainty—at least until Donald Trump says otherwise—but on the other, companies in the Old Continent will have to pay an extra that they did not have to before the tycoon's arrival at the White House. In Spain, one of the hardest hit sectors will be the agricultural sector , although there is some consolation in the fact that the rate will be the same for all of Europe, unlike what happened during Trump's first term, when he imposed a 25% tax on Spain due to the war between Airbus and Boeing, while other European markets were not punished as such.

For the Spanish Federation of Food and Beverage Industries (FIAB), the US market remains indispensable for the Spanish agricultural sector . "Recovering what is lost there due to the tariff in the short term will be impossible, as will compensating for it with other markets," explains Ignacio Silva, president of this association. The US is the main market for the Spanish food and beverage industry outside the EU, with €3.365 billion traded to that country in 2024. This country has a 14.3% share of all Spanish agri-food exports, according to data from the Ministry of Agriculture for 2024.

Given this situation, FIAB is calling for direct government aid to mitigate the effects of the measure, especially among SMEs. The sector is facing a scenario in which exporting companies will lose margins, both due to the impact of the tariff and the price increases they will have to undertake in the US to compensate for it, which could lead to a drop in sales volume. These demands are directed at taxes such as VAT and corporate tax, and direct subsidies are not ruled out.

There is also little optimism regarding the final stretch of negotiations between the US and the EU, and the possibility of certain subsectors being exempt from tariffs. "Without countermeasures from Brussels, the US is under no pressure to do so," food industry sources explain.

Wine, amid hopes of a 0% tariff

The wine sector does have that hope. European Commission President Ursula von der Leyen has opened the door to tariff-free tariffs on some strategic products, and rumors suggest alcoholic beverages may be among them. "For us, it would be essential, although we have no expectations," explains José Luis Benítez, director general of the Spanish Wine Federation. This is blunt: the 15% tariff, although lower than the 30% that was threatened, is not good for the sector. Above all, because until now it barely raised trade barriers: a bottle of still wine paid 6.3 cents in tariffs before the 10% tariff was applied in April. Now it's jumping back to 15%.

“It's not good. Nor will it be a catastrophe. The agreement at least provides some stability, but it's not what we were looking for,” says Benítez. France and Italy are the world's leading wine exporters to that market, with Spain in fourth place with approximately €390 million in annual sales. Competing countries such as New Zealand, Argentina, and Australia remain, for the time being, with a 10% tariff, giving them an advantage over Spain. Wineries will have to face the new situation, with few alternatives: assume part of the margin; have the importer, an essential agent for selling in the US, also sacrifice part of theirs; and raise prices, at the risk of losing customers. “Much will depend on customers' perceptions of Spanish wines,” summarizes Benítez. The European Wine Business Council (CEEV) estimates a 10% impact on wine sales to the US from within the EU.

Oil, with a position of strength

The olive oil sector views the crisis differently. Unlike wine, the US is forced to import it to cover most of its consumption needs, given its low production levels: 15,000 tons for approximately 430,000 tons of consumption. Spain, the world's leading producer, is the main exporter to the US, supplying 300,000 tons.

Rafael Pico, deputy director of the employers' association Asoliva, believes that, while the 15% tariff was not the worst of the scenarios being considered, "it does cause a disruption in international trade" due to the different tariffs faced by the main olive oil exporters. Tunisia, one of the world's largest producers, is among the hardest hit, with a 25% rate. But Turkey, another of Spain's greatest rivals, only has a 10% rate. "The playing field is changing. It's difficult to predict what consequences that 5% difference will have," says Pico. One circumstance plays in favor of Spanish exporters: the fall in oil prices this season, which will allow them to pass on the tariff without causing the final sale price for the American consumer to skyrocket. "With the tariff, they will pay less than two years ago," Pico summarizes. And this tariff will not have the consequences that the 2019 tariff had, which only affected Spain. "That one wiped out 80% of Spanish exports. This tariff won't have those consequences," the executive says.

A new blow to the automotive components industry

In the case of the automobile industry, Spain will only suffer the tariff on its auto parts industry , since national car factories do not export a single car to the US. In the case of components, a sector made up mainly of SMEs, the blow is both direct and indirect, given that in 2024 Spain sold parts to the US worth 1,021 million - it was the eighth largest buyer of Spanish automotive components - and sold parts worth almost 4,000 million to Germany, a major seller of cars to the US.

"Although the agreement reached represents a reduction compared to the initially planned tariffs of 25% or 30%, it represents a substantial increase compared to previous historical rates and, therefore, will have an impact on the Spanish automotive component manufacturing industry, given its high degree of internationalization and complex supply chain. This translates into a direct increase in export costs, as well as indirect effects, as these tariffs are also present in vehicles exported to the US from Germany or France," notes Sernauto, the trade association representing automotive component manufacturers in Spain.

Steel calls for “urgent aid”

Unesid, the Spanish employers' association representing 46 steel companies, is calling for "urgent aid for the most affected companies" related to steel and aluminum exports, reports Javier Vadillo . Since early June, they have faced a 50% tariff, which remains in place for the time being following the trade agreement signed on July 27 between Europe and the US. These subsidies were recently approved by the Congressional Industry Committee.

Uncertainty among pharmaceutical companies

One of the unresolved questions left by the new agreement between the EU and the US is what will happen to the pharmaceutical sector . Trump stated that the pact does not include medicines, contradicting the President of the European Commission, who indicated that the tariff for the sector will be 15%. "This agreement breaks the fundamentals of transatlantic trade, undermines World Trade Organization (WTO) rules, and puts an end to the achievement of free trade in medicines," said Han Steutel, president of VFA, the German trade association that represents the sector.

Luxury settles for a lower tariff than expected

Major luxury industry companies such as LVMH and Kering breathed a sigh of relief after learning of the final rate, which ended up being lower than initially feared. The US is the main market for this sector, where LVMH, owner of brands such as Louis Vuitton and Bulgari, accounts for 25% of its sales. "A 15% tariff would be a good outcome for the overall morale of our clients," said LVMH CFO Cécile Cabanis during the company's results presentation last week.