Chinese and American trade negotiators concluded their two-day meeting in Stockholm without a resolution to avert tariffs from skyrocketing back to ultra-high levels that formed an effective blockade on trade between the world’s two largest economies.

China and the U.S. have agreed to continue their tariff pauses on each other, according to China's top trade official

The guidance update comes after the U.S. and EU on Sunday agreed a deal that will apply a 15% tariff to cars shipped from Europe to the U.S. That marks a sharp drop from the 27.5% European automakers have been paying since April, but still represents a hefty increase from the 2.5% that applied before President Trump began his second term in office.

Mercedes-Benz expects a profit margin of 4% to 6% for its car business this year, including a nearly $420 million impact from tariffs, it said on Wednesday in a first assessment of the damage from U.S.