US President Donald Trump has raised the prospect of imposing tariffs on the European Union (EU), prompting concerns of a renewed trade conflict.
Speaking in the Oval Office, Trump made it clear that he would “absolutely” consider levying tariffs on the 27-nation bloc.
“Am I going to impose tariffs on the European Union? You want the truthful answer or a political answer? Absolutely,” Trump said when questioned by reporters.
The former President accused the bloc of treating the US unfairly.
“The European Union has treated us so terribly,” he remarked.
Memories of 2018 trade war resurface
The threat has revived memories of the 2018 trade war during Trump’s first presidency when tariffs were imposed on European steel and aluminium exports.
The EU swiftly retaliated by slapping tit-for-tat duties on iconic American goods, including whiskey and motorcycles.
Following the recent remarks, a spokesperson for the European Commission expressed regret over America’s previous tariff measures targeting Canada, Mexico, and China.
The spokesperson warned, “The EU would respond firmly to any trading partner that unfairly or arbitrarily imposes tariffs on EU goods.”
He emphasised the bloc’s commitment to a rules-based trading system, adding, “Tariffs create unnecessary economic disruption and drive inflation. They are hurtful to all sides.”
Ongoing trade frictions
Trump’s relationship with the EU has long been fraught with tension. In December 2024, he threatened a trade war unless the bloc purchased more American oil and gas.
His controversial interest in acquiring Greenland, which Denmark outrightly rejected, further strained relations.
In response to Trump’s tariff remarks, the European Commission reiterated its commitment to “low tariffs to drive growth and economic stability within a strong, rules-based trading system.”
“There is a lot at stake. We should both be looking at strengthening this relationship,” said the spokesperson.
EU leaders to convene
EU leaders are scheduled to discuss the tariff threat during a meeting in Brussels on Monday. Diplomats fear that escalation could harm transatlantic trade ties, which are crucial to the global economy.
The bloc remains hopeful that negotiations will avert a full-scale trade war. Yet, its message to the former US leader was clear: any provocative tariff action will be met with a firm and proportional response.
