Here are the latest developments on Trump’s decision to impose 30 % tariffs on imports from the EU and Mexico, set to take effect August 1, 2025:
- Trump’s announcement: On July 12, Trump revealed via letters posted on his Truth Social platform that a 30 % tariff will apply to goods from both the EU and Mexico, citing concerns over trade deficits, fentanyl, illegal immigration, and perceived unfair trade practices
- Scope and mechanism: The tariff is additional to existing sector-specific duties (e.g. on steel and autos). Trump also cautioned that any retaliatory tariffs from the EU or Mexico would be matched this 30 % surcharge .
- EU response: European Commission President Ursula von der Leyen emphasized ongoing negotiations, while warning that the EU is ready to adopt “proportionate countermeasures” if needed
- Mexico’s reaction: President Claudia Sheinbaum expressed disappointment and insisted on continued talks, asserting Mexico’s sovereignty but hoping to resolve issues before the deadline
- Negotiations & context: Trump’s move escalates a broader trade posture launched in April (“Liberation Day” tariffs). Both the EU and Mexico claim ongoing negotiations could influence the final tariff level, with the EU interpreting it as a negotiation tactic—though significant disruption remains a risk
What this means:
- Economic implications: This action targets two of the U.S.’s largest regional trading partners—combined, they constitute ≈ 30 % of U.S. imports—and could significantly impact supply chains, consumer prices, and global market sentiment
- Potential retaliation: The EU is preparing a list of countermeasures (estimated at up to €95 billion) and will hold emergency trade meetings this weekend and Monday
- Diplomatic balancing act: While both sides continue to negotiate, the looming deadline of August 1 adds urgency. Some EU officials suspect the tariff threat is a negotiating strategy rather than a finalized policy
Statement by President von der Leyen on EU-U.S. trade
We take note of the letter sent by U.S. President Trump outlining a revised tariff rate and a new timeline.
Imposing 30 percent tariffs on EU exports would disrupt essential transatlantic supply chains, to the detriment of businesses, consumers and patients on both sides of the Atlantic.
Few economies in the world match the European Union’s level of openness and adherence to fair trading practices. The EU has consistently prioritized a negotiated solution with the U.S., reflecting our commitment to dialogue, stability, and a constructive transatlantic partnership.
We remain ready to continue working towards an agreement by August 1. At the same time, we will take all necessary steps to safeguard EU interests, including the adoption of proportionate countermeasures if required.
Meanwhile, we continue to deepen our global partnerships, firmly anchored in the principles of rules-based international trade.
The statement is available online.
