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Thursday, July 17, 2025

Trump’s 50% Tariff on EU Still Looms Alongside New Food Threat

Even as a 17% tariff on European food and farm produce exports is threatened, the EU faces the lingering specter of a 50% tariff previously menaced by Donald Trump. This layered aggression underscores the immense pressure on the European Union, whose popular goods like Belgian chocolate, Irish Kerrygold butter, and Mediterranean olive oil are all potential targets.
The direct warning about the 17% food tariffs was reportedly conveyed to EU trade commissioner Maroš Šefčovič during high-level talks in Washington. This move is part of Trump’s consistent “aggressive negotiating position,” aimed at extracting concessions from the EU, a bloc he once controversially labeled “nastier” than China on trade.
Despite the multifaceted threats, EU trade spokesperson Olof Gill confirmed that the bloc continues to “favour a negotiated solution” and that “progress was made towards an agreement in principle” in recent discussions. However, the EU is also making robust preparations for a potential trade war, with retaliatory duties on various US products, including Bourbon and Boeing 747s, if a deal isn’t reached before Wednesday.
European Commission President Ursula von der Leyen has emphasized the pragmatic goal of a high-level framework deal, acknowledging the limited time for a comprehensive agreement. The EU is also seeking immediate tariff relief for critical sectors, particularly the auto industry, which currently faces a punitive 27.5% US tariff. The expiration of the 90-day tariff pause for over 60 countries, including the EU, on Wednesday, adds a critical sense of urgency to these ongoing trade negotiations, with the larger 50% tariff threat still present.

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