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Trump Threatens to Raise Trade Tariffs to Pressure Europe into Complying with Agreement

| | Source: REPUBLIKA Translated from Indonesian | Trade
Trump Threatens to Raise Trade Tariffs to Pressure Europe into Complying with Agreement
Image: REPUBLIKA

Tensions in trade relations between the United States and Europe have escalated once again after US President Donald Trump threatened to raise import tariffs on European products if Brussels fails to meet the commitments of the agreed trade agreement between the two sides.

Following a telephone conversation with the President of the European Commission, Ursula von der Leyen, Trump decided to postpone the tariff increase threat until 4 July 2026, coinciding with the 250th anniversary of US Independence Day.

“I have patiently waited for the European Union to fulfil its part of the historic trade agreement we negotiated in Turnberry, Scotland,” Trump wrote on social media.

He emphasised that if the European Union fails to fully implement the agreement by the deadline, Washington will impose “much higher” tariffs on European products.

This latest threat prolongs the escalation of the transatlantic trade war, which was previously triggered by Washington’s plan to raise tariffs on European-made vehicles from 15% to 25%.

In the agreement reached last summer, the European Union committed to eliminating remaining tariffs on various US-origin products. In return, Washington agreed to a fixed 15% tariff scheme for most European Union products to prevent the accumulation of new trade barriers, as reported by Euronews on Friday (8/5/2026).

However, the implementation of the agreement is now stalled internally in Europe. The European Parliament and member states are still negotiating a draft law that would allow for the full elimination of tariffs.

The main debate arises from demands by some European Parliament members to include protective clauses in case the US breaches the agreement or threatens the European Union’s territorial integrity.

Those concerns have intensified following Trump’s previous controversial statement regarding the possibility of taking over Greenland from Denmark.

Meanwhile, some European Union member states prefer to stick to the original agreement formulation without additional clauses to expedite the implementation of the trade deal.

Trump’s threat to raise tariffs to 25% also strengthens criticism of the agreement within European politics. Some parties assess that Washington could continue to pressure Brussels for additional concessions, particularly regarding the European Union’s digital regulations and environmental policies, which have long been criticised by the White House.

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