Trump Threatens 35% EU Tariff Amid Trade Tensions Escalation

U.S. President Donald Trump has issued a warning that a 35% tariff will be imposed on European Union (EU) imports if the bloc fails to meet its obligations, signaling a potential escalation in transatlantic trade tensions. The statement was made during a live interview on CNBC’s "Squawk Box," where Trump reiterated his administration’s hardline stance on trade negotiations and protectionist measures [1]. This comes amid a broader shift in U.S. trade policy, which has increasingly emphasized renegotiating terms with key trade partners and implementing higher tariffs across a range of goods.

The proposed 35% tariff on EU imports represents a sharp departure from the 15% rate that had previously been agreed upon. While the U.S. Trade Representative has indicated that some tariff levels are “pretty much set,” the administration has left the door open for negotiations if the EU meets certain conditions [4]. The EU, for its part, has maintained that it expects current tariff rates to remain below 15%, despite the ongoing uncertainties in the bilateral relationship [1].

Trump’s latest trade measures are part of a wider pattern of tariff announcements affecting multiple countries. The U.S. has imposed a 50% tariff on semi-finished copper products and Brazilian goods, with some exemptions for specific items such as orange juice and aircraft components [3]. In addition, a new policy eliminates the de minimis exemption for low-value imports under $800, effective August 29, broadening the scope of the tariff regime [3]. The administration has also engaged in a mix of bilateral negotiations and unilateral actions, granting Mexico a 90-day reprieve on higher tariffs and delaying the imposition of new duties in certain cases [5].

Trade Representative Jamieson Greer has emphasized that while some tariffs are part of formal agreements, others depend on ongoing trade balances with specific countries [4]. This suggests a flexible yet firm approach to trade policy, where the administration is willing to modify terms in real time based on negotiations and economic indicators.

Analysts have pointed to potential inflationary pressures and disruptions in global supply chains as a result of these policies [5]. While some trade partners have secured preferential rates through negotiated agreements, others face higher duties that could impact a range of industries, including agriculture and manufacturing. The long-term economic effects on consumers, businesses, and global trade dynamics remain to be seen, with uncertainty continuing to shape the landscape in the coming months [6].

The Trump administration’s approach has introduced a new level of complexity to U.S. trade relations, with a focus on leveraging tariffs as a negotiation tool and enforcing domestic protectionist measures. Whether the 35% EU tariff becomes a reality will depend on the EU’s response to the outlined obligations, and how both sides navigate the broader trade agenda in the coming weeks.

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[1] https://www.binance.com/en/square/post/27906771524153

[2] https://finance.yahoo.com/news/live/trump-tariffs-live-updates-us-outlines-new-tariff-guidance-as-india-calls-trumps-warning-unjustified-200619452.html

[3] https://eaccny.com/news/member-news/troutman-pepper-locke-tariff-surge-trade-deals-announced-us-increases-canadian-tariffs-and-amends-reciprocal-tariffs/

[4] https://www.aol.com/early-modelling-reveals-impact-trump-142743825.html

[5] https://www.jdsupra.com/legalnews/president-trump-implements-tariffs-ends-9384678/

[6] https://dailyreporter.com/2025/08/04/trump-delays-tariffs-global-trade-uncertainty/