German stocks fall amid new US tariff threats

Germany's benchmark DAX index closed lower on Monday, mirroring a broader decline across European markets. The drop followed the US administration's announcement of 30% tariffs on imports from eurozone countries, with the automotive sector being particularly affected. Shares of major German automakers including BMW, Mercedes-Benz, and Porsche all registered declines.

European Commission President Ursula von der Leyen stated that the new tariffs would disrupt transatlantic supply chains and harm businesses and consumers on both sides of the Atlantic. She added that the EU stood ready to implement countermeasures should the US proceed with its plan.

The DAX fell more than 0.3% during the session, with retail and manufacturing stocks showing the weakest performance. According to Cyrus de la Rubia, chief economist at Hamburg Commercial Bank, the tariff uncertainty was making investors more cautious, especially given the existing weak external demand for German industrial products.