President Trump has threatened the European Union with a 200% tariff on European goods unless a “nasty” tax is revoked.
Donald Trump has issued a bold warning to the European Union. Credit: Rebecca Noble / Getty
The 78-year-old president has engaged in ongoing trade battles with some of America’s closest allies since taking office as the country’s 47th leader.
On Thursday (March 13), Trump took to Truth Social to lash out at the European Union, calling it one of the “most hostile and abusive taxing and tariffing authorities in the world” and accusing the bloc of being “formed for the sole purpose of taking advantage of the United States”.
His frustration stems from the 50% tariff the EU has placed on whisky, a policy he claims unfairly targets American exports. Trump made it clear in his post that if the EU does not revoke this tax, the US will hit back with significant trade penalties.
“If this Tariff is not removed immediately, the U.S. will shortly place a 200% Tariff on all WINES, CHAMPAGNES, & ALCOHOLIC PRODUCTS COMING OUT OF FRANCE AND OTHER E.U. REPRESENTED COUNTRIES,” he warned.
He also framed the move as a boost for American businesses, adding: “This will be great for the Wine and Champagne businesses in the U.S.”
Credit: Truth Social
The EU’s whisky tariff is part of a broader retaliatory measure against the United States, following Washington’s decision to impose 25% tariffs on European steel and aluminum imports, BBC News reported.
According to Bloomberg, the European Commission responded by hitting back with a 50% levy on €26 billion (approximately $28 billion) worth of US goods, including American bourbon whiskey.
European Commission President Ursula von der Leyen has condemned Trump’s tariff threats and warned that escalating trade disputes will harm both economies.
“The trade relations between the European Union and the US are the biggest in the world. They have brought prosperity and security to millions of people, and trade has created millions of jobs on both sides of the Atlantic,” she stated.
Addressing the U.S. steel and aluminum tariffs, von der Leyen said: “We deeply regret this measure. Tariffs are taxes. They are bad for business, and even worse for consumers. These tariffs are disrupting supply chains.
“They bring uncertainty for the economy. Jobs are at stake. Prices will go up. In Europe and in the United States. The European Union must act to protect consumers and business,” she added.
Von der Leyen also defended the EU’s response, calling the countermeasures “strong but proportionate”.
“As the U.S. is applying tariffs worth 28 billion dollars, we are responding with countermeasures worth €26 billion. This matches the economic scope of the U.S. tariffs,” she explained.
Ursula von der Leyen, President of the European Commission. Credit: Pier Marco Tacca / Getty
The EU’s tariffs are scheduled to take effect on April 1, with full implementation set for April 13. However, von der Leyen insisted that Brussels remains open to negotiations.
“We firmly believe that in a world fraught with geopolitical and economic uncertainties, it is not in our common interest to burden our economies with tariffs,” she said. “We are ready to engage in meaningful dialogue.”