Outside economists say that high tariffs are still likely to raise prices for American consumers, dampen the Federal Reserve’s ability to lower interest rates and make the U.S. economy less efficient over time. Democrats say the middle class and poor will ultimately pay for the tariffs.

Europe's carmakers, already battling stiff competition from Asia and a costly transition to electric cars, were dealing with another dose of reality on Monday - tariffs imposed by U.S. President Donald Trump.

Trump had most recently threatened tariffs of 30% on imports from the European Union. But on Sunday, he met with the president of the European Commission, and they agreed to a lower level.

The 15% tariff would be lower than previously threatened, but it would remain a high duty on America’s largest trading partner.