President Donald Trump has unveiled new tariff threats against the main American trade partners, announcing a rate of 30% on imports from Mexico and the European Union (EU) if countries do not negotiate more favorable commercial conditions by August 1.
The announcement was made via two letters published on social networks on Saturday, part of a wider Trump thrust to reshape US trade relations thanks to an aggressive tariff diplomacy.
The EU had discussions with the United States in the hope of finalizing a framework agreement to avoid such prices.
However, Trump’s latest communication seems to have attenuated expectations for a short -term resolution, although he left the door open for new negotiations.
“If you want to open your negotiation market closed so far in the United States and eliminate your price, and non-pricing, political and commercial barriers, we may consider an adjustment to this letter,” Trump wrote.
The prices, if adopted, would apply largely and are distinct from the sectoral prices previously imposed on articles such as cars and steel.
These new measures may have a significant impact on the competitiveness of EU exports on the American market, in particular compared to the United Kingdom, which has already obtained a trade agreement with the Trump administration.
EU negotiations are at a standstill, trade tensions increase
Copy the link to the section
The EU has faced Trump’s changing position in recent months.
Initially, the president proposed a tariff of 20% on the EU during his “Liberation Day” event in April. This figure was then reduced to 10% during a 90 -day negotiation period.
However, frustration at the pace and content of the talks led Trump to increase his position, briefly threatening a 50% rate before registering on the current figure of 30%.
The efforts to reach a breakthrough continued earlier this week, the president of the European Commission Ursula von der Leyen speaking directly with Trump.
EU officials had expressed optimism as to the finalization of a framework agreement to avoid new prices, but the letter on Saturday raised new uncertainty about the probability of such an agreement.
If they were implemented, prices would probably place EU exporters in disadvantage compared to the competitors based in the United Kingdom.
The United Kingdom, having left the EU in 2020, has already established a high-level commercial pact with the Trump administration, which could protect it from some of the new functions.
Mexico prices linked to the border and fentanyl concerns
Copy the link to the section
In a separate letter to Mexican President Claudia Sheinbaum, Trump recognized Mexico’s cooperation on borders, but said it was insufficient to prevent a 30%tariff.
The president has linked any future adjustment to the prices to the success of Mexico in the fight against drug cartels and the reduction of fentanyl flow in the United States.
“These prices can be modified, upwards or down, depending on our relations with your country,” wrote Trump, leaving the possibility of additional negotiation.
However, the letter did not specify whether the new prices included goods currently exempt under the USMCA trade agreement, although exemptions for Canada should remain in place.
Mexico becomes the third country – after Canada and Brazil – to receive formal communication concerning pricing policies despite the fact of not dealing with imminent hikes on the deadline of July 9.
The other nations recently intended for potential tariff increases include Japan, South Korea, South Africa, Indonesia, Thailand, Cambodia and several North African countries and the Middle East.
