Kathrine Frich
The EU has yet to secure meaningful concessions from Washington regarding tariffs on European goods.
The EU has yet to secure meaningful concessions from Washington regarding tariffs on European goods.
Donald Trump labeled the European Union “worse than China” during a press statement on Monday.
The comment came just hours after the U.S. and China agreed to roll back some of their tit-for-tat tariffs in an effort to de-escalate their trade war.
A Shift from Praise to Provocation
Trump’s criticism of the EU marks a dramatic shift from his recent praise for European Commission President Ursula von der Leyen.
Just last week, he called her “fantastic” and expressed hope for an upcoming meeting.
Now, that meeting appears uncertain, as von der Leyen insists on having a concrete trade proposal on the table first.
EU Still Pushing for Tariff Relief
Despite repeated attempts, the EU has yet to secure meaningful concessions from Washington regarding tariffs on European goods.
These tariffs, imposed by Trump under his so-called “Liberation Day” initiative, target a broad range of items, including cars and metals.
Brussels Prepares to Push Back
In response, the EU has outlined a series of possible concessions to China and is considering retaliatory tariffs on U.S. goods worth €95 billion if negotiations stall.
These potential tariffs reflect the bloc’s growing frustration with Washington’s trade policies.
Navarro Slams EU Retaliation as “Provocative”
Peter Navarro, Trump’s former trade adviser, condemned the EU’s proposed countermeasures, calling them “provocative.”
His comments underscore the deepening rift between the U.S. and its European partners, even as tensions with China begin to ease.
Temporary U.S.-China Truce Reached
Over the weekend, U.S. and Chinese officials met in Switzerland to hammer out a temporary 90-day suspension of punitive tariffs.
Under the agreement, U.S. tariffs on Chinese imports will drop from 145% to 30%, while China will lower its tariffs from 125% to 10%.
Trump’s “Liberation Day” and the Global Fallout
Trump’s broad imposition of tariffs, framed as correcting global trade “injustices”, has sent shockwaves through financial markets.
His moves have been aimed at reshoring manufacturing jobs lost to globalization, but they risk destabilizing global trade flows.
Pharmaceutical Prices Now in Trump’s Crosshairs
Amid the trade storm, Trump also introduced a new drug pricing framework on Monday.
The plan aims to force pharmaceutical companies to offer Americans the lowest price available globally, a move that could have major implications for the international drug market.
A New Era of U.S.-EU Tensions?
As Trump ramps up his rhetoric and trade threats against Europe, the once-stable transatlantic relationship appears to be entering a turbulent new phase.
With retaliatory measures on the table and negotiations at a standstill, the months ahead may prove decisive for U.S.-EU economic ties.