US President Donald Trump has announced his intention to impose tariffs on the European Union, citing unfair treatment in trade practices. This follows the implementation of 25% duties on imports from Mexico and Canada, and 10% on Chinese goods, effective February 1.
The European Union has been bracing for possible trade restrictions under the new US administration for months. Trump has threatened several times to impose tariffs on the EU unless specific conditions are met. In December, Trump demanded that Brussels reduce its trade deficit with the US by significantly increasing purchases of American oil and gas.
“Am I going to impose tariffs on the European Union? You want the truthful answer, or should I give you a political answer? Absolutely, absolutely,” Trump told reporters at the White House on Friday.
“The European Union has treated us so terribly,” Trump added. He confirmed plans for “something substantial” to be applied to the EU but did not provide specific details regarding the targeted goods or the exact tariff rates.
This is not the first instance of trade tensions between the US and the EU under Trump’s administration. In 2018, during his first term, he imposed a 25% tariff on steel and a 10% duty on aluminum imports from the bloc, as well as Canada, and Mexico, citing national security concerns.
In response, the EU implemented retaliatory tariffs on American products such as bourbon whiskey and motorcycles.
The new tariffs on Mexico and Canada were reportedly justified by the Trump administration as measures to address issues like illegal immigration and the influx of fentanyl into the United States.
Despite warnings from economists about potential global economic repercussions, including increased inflation and disrupted supply chains, Trump has remained steadfast in his approach.
On Thursday, Trump also threatened to impose 100% tariffs on BRICS nations if they attempt to undermine the “mighty US dollar” by creating an alternative currency. Members of the economic bloc have accelerated efforts to reduce reliance on third-party currencies in bilateral trade in recent years, especially after Western sanctions led to the freezing of Russia’s reserves held in dollars and euros, following the escalation of the Ukraine conflict in 2022.
