UNITED States (US) President Donald Trump has threatened to impose a 50 per cent tariff on imports from the European Union (EU) starting from June 1.
He cited stalled trade negotiations and unfair trade practices by the bloc as reasons for the imposition.
He made the tariff threat known on Friday, May 23, Reuters reported.
He criticised the EU for its trade barriers, Value-Added Taxes (VAT), corporate penalties, non-monetary trade restrictions, monetary manipulations, and lawsuits against American companies.
“Our discussions with them are going nowhere! Therefore, I am recommending a straight 50 per cent Tariff on the European Union, starting on June 1, 2025,” Trump declared.
The US President had previously imposed a sweeping tariff, including a 20 per cent “reciprocal” tariff on most EU goods in April.
The 50 per cent tariff proposal on EU imports raises concerns about potential retaliatory measures from the bloc.
This could further disrupt global supply chains and increase costs for businesses and consumers, most analysts would say.
Since assuming office on January 20, Trump has instigated a trade war with most of America’s trade partners.
The ICIR reports that upon assuming office, Trump introduced a broader trade policy that includes a standard 10 per cent tariff on all US imports, along with a 14 per cent tariff on Nigerian exports.
He has threatened tariffs on over 50 countries, including major trade partners such as China, India, and Japan, along with developing economies across Asia, Africa, and Latin America, The ICIR reported.
His tariff war has been widely criticised by global trade organisations, including the International Monetary Fund (IMF) and the World Trade Organisation (WTO), which see it as posing a significant risk to the global economy.
On the contrary, Trump believes his tariffs would restore the US economy to a lost “Golden Age,” and sees his tariff measures as part of a broader effort to safeguard American industries and ensure that foreign nations adhere to “fair” trade rules.