Changes to free trade have to be discussed, says head of Daimler

One of the biggest names in the auto industry is concerned with potential changes to free trade amid the new protectionist rhetoric that is coming from countries including the U.S.

Dieter Zetsche, chairman at Daimler, told CNBC that "all partners involved benefit from free trade."

"If there are any imbalances in the way our free trade is orchestrated, this might be something to be discussed," he added, speaking on the sidelines of the Geneva Motor Show.

Among the latest trade measures being discussed in the U.S include President Donald Trump's corporation tax cut from 35 to 20 percent and a a border tax adjustment, which would hurt businesses with significant sales but small production in the U.S.

According to Deutsche Bank, European car manufacturers including Fiat Chrysler, Volkswagen and Daimler would be hit the most by a U.S. border tax.

"We are still in the first 100 days and we still don't have specific decisions where to go. We trust on the one hand that ultimately we will see something which will not hamper free trade and secondly we are very strong manufacturers in the U.S," Zetsche added.

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