Trump threatens 50% tariffs on EU imports amid growing tensions over trade and China

Trump threatens 50% tariffs on EU imports amid growing tensions over trade and China

US President Donald Trump reignited transatlantic trade tensions on Friday by threatening to impose 50% tariffs on European Union imports starting June 1, a move that stunned Brussels and highlighted mounting US frustration with the EU’s handling of trade talks, regulation, and its stance on China, the Wall Street Journal reported.

The tariff threat emerged from deepening discontent within Trump’s economic team over what they perceive as Europe’s slow, cautious approach to negotiations and its reluctance to make substantial concessions. According to people familiar with the talks, Trump officials have been privately pressing European diplomats to address US concerns over digital taxes, auto regulations, and antitrust penalties, while also pushing the EU to impose tariffs on Chinese goods—a measure already accepted by the UK in its recent deal with the US.

US irritation over EU’s fragmented response

Trump advisers have grown increasingly impatient with the EU’s methodical, consensus-driven process, which they argue delays progress and dilutes accountability. While European officials have acknowledged the US’s desire for tougher action on China, they have stopped short of agreeing to new tariffs or comprehensive reforms to tax and regulatory policies. That disconnect came to a head Friday, when Trump posted his 50% tariff warning on Truth Social, just hours before EU and US trade officials were scheduled to speak.

“There’s no deal to be had,” Trump told reporters later in the Oval Office, suggesting he intends to proceed unless the EU meets US expectations swiftly.

The China dilemma

Central to the breakdown is the Trump administration’s demand for coordinated tariffs on Chinese industries, particularly in steel and tech. US negotiators want the EU to join a broader front to pressure Beijing over subsidies and market interference—an approach the UK accepted earlier this month as part of its trade pact with the US

EU officials, however, remain wary of provoking a trade war with China, a key export market for European goods. While the bloc has signalled readiness to cooperate on addressing China’s nonmarket practices, it has not agreed to punitive measures.

US Treasury Secretary Scott Bessent underscored the urgency Friday, telling Fox News that the threat of tariffs was intended to “light a fire under the EU.”

EU backlash and uncertainty

European officials reacted with surprise and irritation. EU trade chief Maroš Šefčovič, speaking after a call with US Trade Representative Jamieson Greer and US Commerce Secretary Howard Lutnick, warned that “mutual respect, not threats,” must guide negotiations. He reiterated that the EU is ready to engage but would defend its interests if talks collapse.

An EU diplomat, reflecting growing confusion, said, “You can’t base policy off a Truth Social post,” while Brussels weighed whether Trump’s threat marked a real shift or simply a negotiating tactic.

Stakes for global trade

The 27-member bloc is considering retaliatory options. While it previously approved tariffs on €21 billion worth of US goods, those duties were suspended during Trump’s 90-day pause. The EU has also prepared a second list targeting up to €95 billion in US exports should talks fail.

Trade stocks slumped on Friday amid the renewed uncertainty. Analysts noted that Europe’s slower pace, shaped by internal consensus rules, often clashes with Trump’s aggressive and unilateral style. US officials have also dismissed EU objections to changing its value-added tax or regulatory policies as nonstarters.

What happens next

The June 1 deadline now looms as a critical turning point. If Trump follows through on the 50% tariff threat, it would risk triggering a broad economic confrontation with America’s largest trading partner. EU diplomats are expected to step up consultations next week, though many fear time is running out.

While the White House has yet to clarify which products would face new duties, the scale of the threat and its sudden delivery underscore the fragile state of transatlantic trade ties—and the uncertain future of US-EU cooperation under Trump’s second term.