Overview

• Donald Trump has threatened to impose 50% tariffs on EU products starting June 1, citing dissatisfaction with the current trade balance.
• Key French export industries, including wine, cosmetics, and aeronautics, could face severe economic repercussions if the tariffs are enacted.
• The EU is working to maintain unity among member states while negotiating a trade agreement with the U.S. to avoid the tariffs.
• European officials are considering a range of retaliatory measures, with French Minister Laurent Saint-Martin stating that 'everything is on the table.'
• The proposed tariffs could also harm the U.S. economy, with studies suggesting a greater GDP decline in the U.S. than in Europe if implemented.