The trade war between China and the United States continues to heat up as the communist country has announced plans to implement tariffs on $75 (£61 / €67.3) billion of goods imported from the United States.

The tariffs will affect of a number of different products including automobiles manufactured in America. CNBC notes this could have serious consequences for a number of different automakers including BMW, Ford, Mercedes and Tesla.

These companies export a number of US-made vehicles to China including best sellers such as the BMW X5, Mercedes GLE and Mercedes GLS. The tariffs will make these models significantly more expensive in China and this could drastically lower their appeal.

Unsurprisingly, the auto industry isn’t happy with the trade war and the CEO of the Association of Global Automakers told The Detroit News, “The tit-for-tat tariffs, absent any meaningful negotiations, are damaging to the American auto industry.” John Bozzella added “When these tariffs were initially imposed by China in 2017, American exports of finished vehicles dropped by 50%. We can’t let that happen to American workers again.”

Ford, which sold more than 46,000 US-made vehicles in China last year, told CNBC “We encourage the U.S. and China to find a near-term resolution on remaining issues through continued negotiations.” The company added, “It is essential for these two important economies to work together to advance balanced and fair trade.”

China announced the tariffs in response to President Trump’s decision to impose a ten percent tariff on $300 (£244 / €269) billion worth of Chinese goods by the end of the year. Trump fired back in a tweetstorm earlier today saying the United States has lost “trillions of dollars” to China over the years and America would be “far better off without them.” The President went on to say “Our great American companies are hereby ordered to immediately start looking for an alternative to China, including bringing your companies HOME and making your products in the USA.”

While the President obviously doesn’t have the authority to do that, he announced increased tariffs on Chinese goods late this afternoon.