Trump’s Tariff Reimposition on the EU and Developments on China
In 2025, the U.S. trade policy has once again shifted to a hardline stance. Former President Donald Trump declared a 50% tariff on EU imports, marking a turning point in U.S.-EU trade tensions. Meanwhile, he signaled renewed negotiations with China, suggesting a dual strategy of pressure and engagement. These moves are expected to significantly affect the global economy and major corporations.
📌 50% Tariff Warning on EU Imports
On May 23, 2025 (local time), former President Trump posted on his own social media platform, Truth Social, warning that he would impose a 50% tariff on EU imports.
“There’s no progress in the negotiations with the EU. Starting June 1, we will impose a 50% tariff.”
This figure is more than double the 20% reciprocal tariff announced in April 2025, and is interpreted as Trump’s typical “pressure card” in trade talks. He claimed the U.S. suffers an annual trade deficit of $250 billion due to the EU’s trade barriers, VAT, non-tariff barriers, currency manipulation, and lawsuits against U.S. firms.
📌 Existing Tariffs and the Forecasted Change
Currently, the U.S. imposes the following tariffs on EU goods:
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Steel/Aluminum from EU: 25%
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Automobiles from EU: 25%
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All EU imports: 10% (maintained until July 8)
Trump deemed these insufficient and declared that a 50% tariff would be applied to all EU imports unless negotiations progress. He added, “Products made and manufactured in the U.S. will not be subject to the tariffs,” encouraging domestic manufacturing.
📌 China Tariff Policy and Renewed Talks
In contrast to the EU, Trump appears to be easing trade tensions with China while preparing for renewed negotiations.
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Tariff on Chinese goods: Reduced to 30%
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Trump stated, “Some major deals will be announced in the coming weeks.”
Particularly notable is his warning regarding global smartphone production. Trump warned that if companies like Apple and Samsung manufacture phones outside the U.S., they would face a 25% tariff starting late June. This suggests direct intervention in global supply chains.
📌 Background of the Stalemate and Outlook
The EU had offered the U.S. the following terms in trade talks:
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Expanded cooperation in energy, telecommunications, semiconductors, steel, and automotive
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Increased imports of U.S. agricultural products
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Proposal for zero tariffs on industrial goods
However, the U.S. reacted passively, leading to a deadlock in negotiations. Trump’s 50% tariff warning is widely seen as a strategic move to accelerate EU’s negotiation efforts.
🧩 Trump’s Trade Strategy: Combined Pressure and Negotiation
This tariff threat indicates a restructuring of Trump’s trade strategy into a “pressure + selective easing” framework.
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EU: Strong pressure, high tariff warning, push for U.S.-based manufacturing
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China: Partial tariff reduction, hinting at renewed negotiations
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Global firms: Threat of tariffs on overseas production
These measures reflect Trump’s continued “America First” economic strategy and a tactical effort to gain leverage in trade talks.
References
[1] https://www.chosun.com/international/international_general/2025/05/23/FFU2QBY6QRHYBOIUXDTLABJYSI/
[2] https://www.euronews.com/business/2025/05/23/trump-suggests-50-tariff-on-eu-goods-starting-in-june
[3] https://www.donga.com/news/Inter/article/all/20250524/131673136/2
[4] https://www.ytn.co.kr/_ln/0104_202505240718135701
[5] https://www.yna.co.kr/view/AKR20250523148351009
[6] https://news.nate.com/view/20250524n00004