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A top European Union official has warned that if Trump’s proposed 30% tariffs on EU imports take effect on August 1, trade would virtually shut down between the US & EU.
Some shit you should know before you read: Last week, President Trump announced that the United States would impose a 30% tariff on all imports from the European Union, set to take effect on August 1, 2025. The Trump administration has justified the measure by citing the EU’s trade surplus with the United States, which totaled approximately $202 billion in goods in 2024 (according to the US Census Bureau). This is expected to have a significant impact on transatlantic commerce, particularly since total US imports from the EU reached $553.2 billion in 2024, with major categories including pharmaceuticals ($111.8B), vehicles ($72.3B), industrial machinery ($59.7B), medical instruments ($35.2B), wine and spirits ($18.5B), and aerospace products ($16.1B). A flat 30% tariff on these goods would add an estimated $165.96 billion in annual import fees, increasing costs for American businesses and consumers, which could result in US consumers opting for domestically made products.
What’s going on now: Following a meeting among European Union ministers in Brussels on Monday, EU leaders said they preferred a diplomatic solution but made it clear that preparations for countermeasures are already in motion. “We must be prepared for all outcomes,” said EU Trade Commissioner Maroš Šefčovič, who has been leading negotiations with US officials. “I’m absolutely 100 percent sure that a negotiated solution is much better than the tension which we might have after August 1.” He warned that if the tariffs are implemented as proposed, “trading as we know it will not continue,” and that it would be “almost impossible” to maintain current levels of commerce with the United States.
Šefčovič added, “I cannot imagine walking away without a genuine effort. The current uncertainty caused by unjustified tariffs cannot persist indefinitely.”
This comes as Denmark’s Foreign Minister Lars Løkke Rasmussen, whose country currently holds the rotating EU presidency, said, “The EU remains ready to react, and that includes robust and proportionate countermeasures if required. There was a strong feeling in the room of unity.”
Italian Foreign Minister Antonio Tajani confirmed that the EU had already prepared a $24.5 billion package of retaliatory tariffs targeting American goods. Šefčovič also revealed that the European Commission had shared a broader proposal with member states for countermeasures on up to €72 billion ($84 billion) worth of US imports.
