The ongoing US-China trade war is having an unexpected impact on Europe’s car industry. China has halted exports of rare earth magnets, essential for producing parts in brakes, power steering, and electric vehicles. This shortage is forcing some European production lines to close due to a lack of these crucial materials. Additionally, the magnets are used extensively in defense industries, highlighting the far-reaching effects of the trade war.
Source: https://www.politico.eu/article/europe-car-makers-sideswiped-us-china-trump-trade-war