German automaker Volkswagen expects the EU and the U.S. to reach a trade deal that lowers vehicle tariffs to 15 percent, but it’s also seeking additional carve-outs for itself.

The global trade war kicked off by Donald Trump has cost Volkswagen €1.3 billion since Washington’s 25 percent tariffs on cars took effect in April.

The company revealed the damage in its half-year earnings call on Friday — the first glimpse investors and policymakers have had of the tariff’s financial toll.

VW reported an operating profit of €6.7 billion for the first half of the year, 33 percent less than for the same period last year. It also revised its financial forecast, stating that it now expects an operating return on sales in the range of 4 percent to 5 percent, down from its previous estimate of 5.5 percent to 6.5 percent.

“We cannot assume that the tariff situation is only temporary,” CEO Oliver Blume said on the call. “If the current tariffs remain in place, the burden would increase to several billion.”

The EU is ”eeking a deal similar to that reached by Japan which would set a 15 percent baseline tariff, POLITICO reported. Negotiations are ongoing and the bloc is preparing to retaliate if no agreement can be reached by an Aug. 1 deadline.

Volkswagen is also hoping for special provisions for the auto sector.

“It should be possible to add a specific deal on a company level between the U.S. and the automotive companies,” Blume said in a separate call with the media.

German automakers lobbied hard for an export scheme to reduce tariffs by offsetting imports from the EU against those models that are produced in the U.S. and exported abroad.

The idea fell on deaf ears in the U.S. and angered other EU member countries, which feared that such a scheme would move production out of the EU and exacerbate deindustrialization across the continent. It would also primarily benefit just two automakers: BMW and Mercedes-Benz.

Volkswagen, meanwhile, wants to offer “huge investments and have the option to discount the tariff level” while keeping the export offset scheme as a potential option in the future, Blume said.

The automaker has invested $14 billion in the U.S., he said, through local production partnerships and the construction of a new plant in South Carolina that will produce the Scout models that are sold exclusively in the U.S. and Canada. The idea is to discount that sum from any tariff the company would face.

However, the carmaker cautioned that a 15 percent deal with the EU addresses only part of the problem, as it would leave a 25 percent tariff in place on exports to the U.S. from Mexico, where Volkswagen and its peers have extensive production facilities.

American automakers bristled at the Japan trade deal, as some cars manufactured by U.S. companies could face higher duties than some cars built entirely overseas.