The European Union(EU) and Mexico have expressed disappointment at US President Donald Trump’s threat to impose 30% tariffs on their imports from August 1. Mexico criticized the move as an “unfair deal” and insisted its sovereignty is non-negotiable. EU’s chief, Ursula von der Leyen, threatened to take “proportionate countermeasures” if needed, while emphasizing the EU’s desire to continue negotiations with the US.
In a letter to European Commission President Ursula von der Leyen, Trump wrote, “We have had years to discuss our trading relationship with the European Union, and have concluded that we must move away from these long-term-large, and persistent, trade deficits, engendered by your tariff, and non-tariff, policies and trade barriers.” He added, “Our relationship has been, unfortunately, far from reciprocal.” Trump warned that if either trade partner retaliates with import duties, he would raise tariffs by a similar percentage over and above the 30%.
The EU has been a frequent target of Trump’s criticism, with a proposed 20% tariff on goods from the bloc earlier this year. Washington and Brussels had hoped to reach an agreement before a deadline of July 9, but no progress has been announced.
Von der Leyen stated, “We will take all necessary steps to safeguard EU interests, including the adoption of proportionate countermeasures if required.” She emphasized the EU’s commitment to fair trading practices, saying, “Few economies in the world match the European Union’s level of openness and adherence to fair trading practices.”
French President Emmanuel Macron expressed “very strong disapproval” of Trump’s announcement, suggesting the EU should speed up preparations for credible countermeasures if no agreement is reached.
Italian Prime Minister Giorgia Meloni called for a fair agreement, stating, “It would make no sense to trigger a trade war between the two sides of the Atlantic.” Dutch Prime Minister Dick Schoof emphasized the need for the EU to remain united and resolute in its aim to reach a mutually beneficial deal with the US.
Mexican President Claudia Sheinbaum expressed confidence that a deal can be reached, saying, “We believe, based on what our colleagues discussed yesterday, that we will reach an agreement with the USA and that we will, of course, achieve better conditions.” She added, “We are clear on what we can work with the USA and we are clear on what we cannot… And there is something that is never negotiated, ever, and that is the sovereignty of our country.” Trump’s letter to Mexico’s leader criticized the country for not doing enough to stop North America from becoming a “Narco-Trafficking Playground.” Mexico has been helping the US secure the border, but Trump said it’s “not enough.”
The proposed tariffs have sparked concerns about a potential trade war and its impact on the global economy. Germany’s Association of the Automotive Industry warned about rising costs for German carmakers and suppliers, stating it’s “regrettable that there is a threat of a further escalation of the trade conflict.” The US trade deficit with the EU was $235.6 billion in 2024, according to the office of the US trade representative.