Overview

• President Trump raised reciprocal tariffs on European Union and Mexican imports to 30%, up from the 20% rate announced in April for EU goods.
• The levy applies to all items not already covered by steel, aluminum or automobile security tariffs and takes effect August 1 with threats of further hikes if partners retaliate.
• Trump publicly released letters on his social media platforms to signal readiness to adjust duties based on negotiation outcomes.
• European Commission President Ursula von der Leyen extended the suspension of €210 billion in planned retaliation until early August to preserve room for negotiations.
• The escalation is part of a wider US approach that has already targeted 14 trading partners, including a recent increase on Japan, to press for concessions on deficits and market access.