On May 23, US President Donald Trump posted a strong statement on the TruthSocial social network regarding trade policy between the US and the European Union (EU). In the post, Trump criticized the EU as "primarily established to exploit the United States in trade" and affirmed that the bloc has long been difficult in negotiations with the US.
President Trump clearly stated that the EU has established a series of protectionist trade barriers, including value-added tax (VAT), penalties on US companies that he calls "irrational", along with non-tariff barriers, currency manipulation, and a series of unfair lawsuits against US companies. According to Trump, these factors have led to a trade deficit of more than $250 billion annually between the US and the EU - a figure he claims is "completely unacceptable".
President Trump emphasized: "Negotiations with the EU have made no progress. Therefore, I propose a direct 50% tariff on all imported products from the EU, starting from June 1, 2025. Products manufactured or produced in the United States will not be affected by this tariff."
This move shows that the Trump administration in its new term continues to pursue a protectionist trade policy, aiming to prioritize domestic production and reduce dependence on imported goods. Imposing a tariff as high as 50% could provoke strong reactions from the EU, opening up the risk of a new trade war between the world's two largest economies.
Transatlantic businesses - especially in the automotive, consumer goods, and technology sectors - are expected to be significantly impacted if this tax policy is implemented. Additionally, investors are closely monitoring the next developments as the Trump administration begins to realize its "America First" commitment in international trade policies.
