The proposed tariffs, which Trump says are aimed at “defending American industries and workers,” would apply broadly to a range of products entering the U.S. from both trading partners. Though details on specific goods were not immediately released, the move is expected to target industries such as automobiles, agricultural products, and manufactured goods.
Speaking at a campaign event, Trump claimed that countries like Mexico and those in the EU have taken unfair advantage of the U.S. through what he described as “manipulated trade deals” and “one-sided regulations.”
“For decades, these countries have sold their goods in our markets while blocking ours in theirs,” Trump said. “Those days are over.
The announcement has already sparked backlash from both U.S. allies and economists. European Union officials responded by calling the proposed tariffs “unjustified” and warned of possible retaliatory measures. Mexico’s Ministry of Economy also condemned the move, vowing to defend its economic interests through all available legal and diplomatic channels.
Trade experts warn that such tariffs could reignite global trade tensions and potentially disrupt supply chains that rely heavily on cross-border cooperation. Businesses that import parts or products from Mexico and Europe are bracing for increased costs that may be passed on to consumers.
“Tariffs like these function as taxes on American consumers and businesses,” said one international trade analyst. “They rarely achieve their intended goal of reshoring jobs and more often lead to price increases and retaliatory tariffs.”
Despite the criticism, Trump defended the tariffs as necessary for rebuilding American manufacturing and pressuring other countries to renegotiate trade agreements more favorable to the U.S.
The new tariffs are not yet in effect and would require implementation through presidential authority or congressional approval, depending on their scope and legal grounding. Analysts expect legal challenges and intense debate in Washington over the economic and geopolitical consequences of the plan.
This marks another sharp turn in Trump’s ongoing campaign narrative centered on economic nationalism, echoing themes from his first term when he imposed tariffs on Chinese imports and withdrew the U.S. from multinational trade deals like the Trans-Pacific Partnership.
Trump Threatens 30% Tariffs on EU and Mexico, Escalating Global Trade Tensions
Former President Donald Trump on Saturday intensified his protectionist trade agenda by threatening to impose sweeping 30% tariffs on all products imported from Mexico and the European Union—two of America’s largest trading partners. The announcement marks a major escalation in his ongoing tariff campaign, which has disrupted global markets since his return to office in January.
The move follows a week of chaotic tariff announcements that have targeted multiple U.S. allies. Since Monday, Trump has issued a series of trade letters proposing new duties ranging from 30% to 40%, covering a growing list of countries. The new tariffs are scheduled to take effect on August 1 unless agreements are reached.
30% Blanket Tariff, With Few Exceptions
The letters to both Mexico and the EU outline a uniform 30% tariff on all imports, with exceptions for so-called “Sectoral Tariffs”—like the existing 25% levy on automobiles. Trump justified the sweeping move as necessary to protect American jobs and manufacturing, and to correct what he has repeatedly described as unfair trade practices.
EU and Mexico Push Back
European Commission President Ursula von der Leyen responded swiftly, stating the EU remains open to discussions but warned that the proposed tariffs would severely impact supply chains and businesses on both sides of the Atlantic.
French President Emmanuel Macron echoed that sentiment in a post on X, urging the European Commission to “resolutely defend European interests,” and to accelerate preparation for countermeasures—including potential anti-coercion tools—should no agreement be reached before the August 1 deadline.
The strong pushback marks the most public resistance yet from European leaders to Trump’s aggressive trade tactics, which many EU officials say have created an unpredictable and unstable trading environment.
Mexico: Security or Trade?
Trump’s letter to Mexican President Claudia Sheinbaum connected the tariff threat to national security concerns, specifically the ongoing flow of fentanyl into the U.S.—a justification he has used before to justify levies on Mexican imports.
“Mexico has been helping me secure the border, BUT, what Mexico has done, is not enough,” Trump wrote.
Mexico’s Economy Minister Marcelo Ebrard criticized the tariff plan on X, calling it “unfair treatment” and noting that a Mexican delegation raised serious concerns during a meeting with U.S. officials on Friday. However, he also indicated that both countries are actively negotiating an alternative to protect cross-border jobs and trade.
U.S. Warns of Retaliation Against Retaliation
Trump’s tariff letters, dated Friday, include a stark warning to both Mexico and the EU: any retaliatory tariffs imposed on U.S. goods will be met with an equal escalation.
“Whatever the number you choose to raise (tariffs) by, will be added onto the 30% that we charge,” Trump wrote, effectively threatening a trade spiral that could result in duties exceeding 60%.
He also cited non-tariff barriers—such as regulatory hurdles and taxes—as contributing factors to the decision. In particular, Trump and his administration have long targeted Europe’s value-added taxes and digital services taxes as discriminatory against U.S. tech firms.
Digital service taxes, common in several EU member states, apply to the gross revenue of large online companies, including revenue from ads, subscription services, and data sales—even when those firms are not profitable. U.S. officials argue these taxes disproportionately impact American companies like Google, Amazon, and Meta.
Rising Tensions and Mixed Signals
Trump has frequently accused the EU of negotiating in bad faith. As recently as two months ago, he had threatened to impose a 50% tariff on European imports due to stalled trade talks, declaring, “I’m not looking for a deal.”
While Saturday’s threat of 30% duties is lower than that earlier ultimatum, it exceeds the 20% “reciprocal” tariffs that were paused in April during a temporary ceasefire in trade hostilities.
Trump’s Treasury Secretary, Scott Bessent, criticized the EU’s negotiation posture on Fox News in May, saying, “The EU proposals have not been of the same quality that we’ve seen from our other important trading partners.”
On Saturday, Bessent posted on X praising the United Kingdom for having “smartly secured an early deal,” signaling that other nations may be considering quiet negotiations to avoid similar punitive measures.
Broader Trade War Risks
Trump’s latest actions come just days after threatening 35% tariffs on Canadian imports, further complicating the trade landscape with America’s top three trading partners. The rapid sequence of tariff threats has created deep uncertainty among businesses, investors, and allied governments, many of whom are scrambling to adjust supply chains and contingency plans.
Critics say this erratic tariff strategy is destabilizing global trade and undermining confidence in America’s economic leadership.
“Tariffs are taxes paid by Americans,” warned one trade analyst. “Slapping them on key allies creates a climate of hostility, not fairness. It’s economic brinkmanship.”
As the August 1 implementation date looms, both allies and adversaries are watching to see whether Trump will follow through—or whether last-minute negotiations can avert a full-blown trade war.
For now, Trump’s message is clear: either foreign governments agree to revised terms on U.S. trade—or face the economic consequences.