Could the New US–EU Trade Deal Finally Bring Wagons to America?

I usually try to avoid political topics, but this new U.S.–EU trade deal hits on something bigger than politics: cars, culture, and choice. It’s the kind of news that resonates with me personally as an American expat living in the Netherlands—and I think a lot of other car enthusiasts on both sides of the pond will feel the same.

In August 2025, the U.S. and EU signed a new trade agreement that, among other things, includes a landmark provision: mutual recognition of automotive regulations. In plain English, that means the EU will recognize U.S. vehicle standards, and (most importantly to me) the U.S. will recognize EU standards for safety, emissions, and crash testing. 🙌🏽

If you’re not familiar, the U.S. has its own regulatory framework—things like FMVSS (safety), NHTSA (crash testing), and EPA (emissions)—and these differ significantly from the rules used in Europe and much of the rest of the world. In some of my videos, I’ve touched on these differences before—whether it’s lighting regulations, emissions rules, or even how crash tests are structured.

What’s different now is this: instead of having to engineer separate versions of the same car to meet two different sets of rules, manufacturers could in theory build one version that works on both sides of the Atlantic. That’s huge. And it’s not just about future models being easier to develop. It also potentially opens the door for existing vehicles that never made it across. Think about it: the BMW M3 Touring, a car that enthusiasts in the U.S. have begged for, could (at least in theory) finally be sold stateside without major modifications.

The upside for car enthusiasts like me? More variety and easier access to “forbidden fruit” Imagine American showrooms getting access to AWD hot hatches, wagons, and quirky French cars. Or European roads seeing more American muscle cars and V8 SUVs without expensive, slow, one-off imports.

Of course, the reality on the ground may look different in the future. Yes, the deal is reciprocal—if a vehicle meets U.S. standards, it can be sold in the EU, and vice versa. But many European safety advocates are against this. They don’t want massive, emissions-heavy American trucks flooding their roads (and honestly, most don’t fit well in the narrow city streets here in Amsterdam). That’s why I don’t think we’ll see the European market changing much, in reality. The people who really want a Dodge Ram or a Mustang here in Europe already find a way to import them—just like the ones I spot at Dutch car shows or occasionally driving past my apartment.

The bigger shift, in my view, will happen in the opposite direction: Americans finally getting access to more small, efficient, and interesting European cars—hatchbacks, wagons (my personal obsession, as you probably know from my 330i Touring), plug-in hybrids, and compact EVs that never make it stateside. And it’s not just about individual enthusiast models like the M3 Touring (sorry I’m biased). This could open the door for entire brands—Renault, Peugeot, Citroën, Opel, even budget-friendly Dacia—that currently don’t sell cars in the U.S. The regulatory hurdles have always been a major barrier; now, with standards aligned, the path is at least theoretically clear.

Of course, there’s still the practical issue of dealer networks in the US. It’s one thing to make a car legal for sale in the U.S., but another to set up sales, service, and parts infrastructure. That’s why we probably won’t see French brands rushing into American suburbs overnight. Still, the fact that the regulatory roadblocks are coming down is a big deal—it means the choice could finally expand.

And here’s the irony: if Americans start buying more European cars thanks to this deal, it might actually work against U.S. trade interests. More U.S. dollars flowing toward imported hatchbacks and wagons, instead of into Detroit-built pickups and SUVs.

Now, in reality, no one really knows yet what this will mean in practice. By the time this agreement is translated into actual laws and applied in the U.S. (and in the EU), there will almost certainly be conditions, carve-outs, and amendments. Lobbyists will want their say—and if there’s one thing history has shown, it’s that the auto industry lobby in Washington is powerful. 

In fact, the irony is that it was partly American automakers themselves who originally pushed for the U.S. to develop its own unique set of standards decades ago. Having different crash, safety, and emissions rules acted as a kind of protective barrier. It made it harder and more expensive for foreign brands to bring their cars to the U.S., while giving Detroit automakers a more controlled playing field.

And then there’s the infamous Chicken Tax—a relic from the 1960s trade wars, when the U.S. slapped a 25% tariff on imported light trucks in retaliation for European tariffs on American chicken. That one piece of policy has shaped the American car market for generations, effectively keeping foreign pickups and vans out of the U.S. and protecting domestic truck dominance. So the question now is: what happens to that under this new deal? Does this mean we could finally see something like the VW Amarok in U.S. dealerships?

Even for passenger cars, it’s not always clear if manufacturers will want to bring their EU-spec models stateside. Think about cars like the VW Arteon or even the short-lived Mercedes X-Class pickup. Will companies see enough demand to justify the logistics and dealer support, even if the regulatory doors are open?

And the flip side is equally complicated: do Europeans actually want American cars? Some, sure—but not all. Take the Tesla Cybertruck. Right now, it can’t be sold in the EU because of strict pedestrian safety rules—the sharp angles and stainless-steel panels simply don’t comply. On paper, mutual recognition could change that. But in reality, will European regulators and consumers allow it (or even want it)?

That’s the thing: this agreement opens the door, but it doesn’t guarantee what will actually walk through it. There are going to be exceptions, nuances, and plenty of behind-the-scenes negotiation that will shape what cars we actually see cross the Atlantic.

What I really hope—no matter what manufacturers decide to do—is that this deal keeps the door theoretically open. For me, the dream scenario is that it finally leads to the end of the antiquated U.S. 25-year import rule. That law has frustrated enthusiasts for decades.  This new agreement gives me hope that one day we could finally bring over some of Europe’s “forbidden fruit” without waiting decades. 

Imagine being able to privately import a BMW M3 Touring without waiting a quarter century—or even ship my own 330i Touring back to the States and register it without endless paperwork and loopholes. For wagon lovers like me, that’s the holy grail.

And it’s not just about personal passion. This could open the door to a thriving gray market in the U.S., where small importers bring in niche European models that manufacturers don’t officially sell. In many European countries, this is already normal—you can buy a brand-new Dodge Challenger or Ford F-150 here, but you’ll pay extra taxes and sometimes need small modifications to make it street legal. With this new agreement, a lot of that complexity could go away in the U.S., giving enthusiasts way more choice.

I also hope this encourages manufacturers to think differently about future models—cars designed for both sides of the Atlantic from the start. Could this be the spark that finally brings back a wider variety of wagons, hatchbacks, and compact cars in the U.S.? Or change how EVs are designed and certified globally, as both regions push hard on electrification? Honestly, it’s too early to say.

What I do know is this: for enthusiasts like us, this agreement feels like a once-in-a-generation opportunity. The rules of the game are shifting, and the possibility for more diversity in our garages is real.

I’ll be following this closely as it develops—and I’d love to hear what you think. What cars would you want to see cross the Atlantic if this deal actually delivers? 

I know what I want:

Sound off in the comments below.

-K