JUST IN: Trump Slaps 30% Tariff on EU, Mexico

United States President Donald Trump has announced a 30% tariff on all goods imported from the European Union and Mexico. The new trade policy will take effect on August 1, 2025.

He made this clear in a direct letter to European Commission President Ursula von der Leyen and the Mexican government. Trump warned that any retaliation will result in even higher tariffs—possibly over 50%.

“The EU has taken advantage of us for years,” Trump wrote. “We must stop the large, unfair trade deficits caused by your tariff policies and trade barriers.”

Washington had aimed to strike a new deal with Brussels by July 9. But as no agreement was reached, Trump acted swiftly. He accused both trading partners of creating a non-reciprocal relationship with the US.

In 2024, the US ran a $235.6 billion trade deficit with the EU. Trump says this imbalance proves America needs tougher trade protection. The White House also sent similar tariff warnings to Japan, South Korea, Brazil, and Canada.

Von der Leyen responded diplomatically, saying the EU is still willing to negotiate. However, she warned that Europe will defend its interests. “We will take all necessary steps, including proportionate countermeasures,” she said.

Mexico’s government was quick to slam the new tariffs, calling them an “unfair deal.” In Trump’s letter to Mexico, he said the country had failed to stop drug trafficking. “Mexico has helped me on the border, BUT it’s not enough,” he added.

It remains unclear whether the tariffs will apply to goods under the US-Mexico-Canada Agreement (USMCA). However, the White House said that Canadian goods may be exempt—unlike Mexico’s.

European leaders have expressed deep concern. Italy’s Prime Minister Giorgia Meloni said a trade war would hurt both sides. Germany’s auto industry also warned about rising costs and potential job losses.

As of now, the Trump administration has proposed tariffs on 24 countries plus the entire EU bloc. The President has only confirmed trade pacts with the UK and Vietnam so far.

More tariffs may follow if Trump doesn’t get his deals.

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