Trump plans massive tariffs on EU goods: trade war threatens!

Trump plans massive tariffs on EU goods: trade war threatens!

International trade is facing a new challenge as US President Donald Trump plans to impose 50 percent tariffs on all goods from the European Union (EU) from June 1, 2025. This announcement comes amid pre-existing tensions between the US and the EU, which has implemented its own countermeasures. Trump imposed new tariffs of 25% on steel and aluminum imports from the EU on March 12, 2025, prompting the EU to announce counter-tariffs within an hour that would take effect from April 1, 2025.

The EU's measures include extra tariffs on a variety of American products, including bourbon whiskey, video game consoles and Harley-Davidson motorcycles, where tariff limits can be as high as 50%. Agricultural products such as poultry, beef and seafood are also affected. The tariff rate limit for these categories could reach up to 25%.

Economic impact and prospects

Experts are already warning about the possible consequences of this customs policy. EU Commission President Ursula von der Leyen has warned the public about rising prices, problems in supply chains and possible job losses. Still, the Institute for the World Economy (IfW) estimates that the tariffs will have a minimal impact on the European economy, with a projected decline in GDP of just 0.02%. With regard to jeans imports from the USA to Germany, the impact is small, as the import value in 2024 was only around 3 million euros, which corresponds to 0.1% of all jeans imports.

Given the confusing situation, the outbreak of a trade war is possible, depending on Trump's further decisions, especially with regard to planned tariffs on cars and other goods from the EU. However, the EU appears willing to negotiate and could consider a deal to expand American exports of liquefied natural gas (LNG) to defuse tensions.

International reactions to Trump's tariff plans reveal a differentiated picture. While Canada also announced tariffs on C$29.8 billion worth of U.S. products, and Britain, Japan and Australia have so far taken no countermeasures, China has stressed it will take all necessary measures to protect its own preferences. The Asian state criticizes the US tariffs as violations of WTO rules.

So the trade landscape remains tense as the world looks at developments between the US and the EU. Whether an agreement can be reached will have to show to what extent both sides are willing to move away from their positions.

For further details on the planned punitive tariffs and their impact on international trade, visit Bild.de and Tagesschau.de.