EU ambassadors were swiftly briefed on Friday regarding Donald Trump’s threat to impose a 17% tariff on European food and farm produce exports, signaling a significant ramp-up of US trade pressure. This proposed duty would directly impact beloved items such as Belgian chocolate, Irish Kerrygold butter, and olive oil from Italy, Spain, and France, which are highly popular among US consumers.
The stark warning was reportedly delivered to EU trade commissioner Maroš Šefčovič during recent talks in Washington with top US officials, including Treasury Secretary Scott Bessent and Trade Representative Jamieson Greer. This action underscores Trump’s continued “aggressive negotiating position,” as he seeks to gain leverage over the EU, a bloc he once controversially labeled “nastier” than China in trade.
While EU trade spokesperson Olof Gill reiterated the bloc’s commitment to finding a “negotiated solution” and confirmed ongoing “progress towards an agreement in principle,” the EU is simultaneously preparing for a potential trade war. Brussels has plans for retaliatory tariffs on a broad spectrum of US products, including Bourbon and Boeing 747s, if a resolution isn’t reached before the Wednesday deadline.
European Commission President Ursula von der Leyen has advocated for a pragmatic, high-level framework deal, acknowledging the impracticality of securing a comprehensive agreement in the short term. A key demand from the EU is immediate tariff relief for vital industries, particularly the auto sector, which has been hit hard by a substantial 27.5% US tariff. The looming July 9 deadline for the expiration of the 90-day tariff pause for numerous countries, including the EU, further intensifies the pressure on these crucial trade negotiations.