In a sharp escalation of trade tensions, U.S. President Donald Trump has proposed a 50% tariff on all goods imported from the European Union, set to take effect on June 1, 2025. The announcement was made in a statement criticizing the EU for what Trump described as “unfair trade practices” and a “totally unacceptable” annual trade deficit of over $250 billion with the United States.
Trump accused the EU of using powerful trade barriers, VAT taxes, excessive corporate penalties, monetary manipulations, and lawsuits against American companies to tilt the playing field in its favor. “Our discussions with them are going nowhere,” the president stated.
Under the proposed measure, EU products built or manufactured in the United States would be exempt from the tariff.
The move is expected to spark significant economic and diplomatic reactions on both sides of the Atlantic, with implications for global trade dynamics and ongoing negotiations.
