Trump threatens steep tariffs on trade with the European Union — and on iPhones

President Trump on Friday threatened on social media that he may impose a steep 50% tariff on imports from the European Union starting June 1 because of a lack of progress in talks about trade issues.

Trump warned in a separate post that he had “long ago” told Apple CEO Tim Cook that iPhones have to be manufactured in the United States — “not India, or anyplace else” — or he would impose a tariff of at least 25% on them. He did not give a specific date for when he would impose that tariff.

Trump had eased off on tariff threats since early April, when he announced tariffs on nearly every country, only to pull many of them back a week later for what he described as a 90-day pause after stock markets had plunged and economists warned of recession.

Trump has long complained about EU trade barriers, VAT taxes, monetary policy, and lawsuits against American companies — and says he thinks it is unfair the EU sells more to the United States than it imports. His initial rate for the EU on April 2 had been 20%. The EU had threatened countermeasures at the time.

President Trump speaks at an investment forum in Abu Dhabi, United Arab Emirates, on May 16, 2025, with Commerce Secretary Howard Lutnick and Treasury Secretary Scott Bessent.
President Trump speaks at an investment forum in Abu Dhabi, United Arab Emirates, on May 16, 2025, with Commerce Secretary Howard Lutnick and Treasury Secretary Scott Bessent. (Win McNamee | Getty Images)

Bessent says he hopes Trump’s comments ‘light a fire’ under the EU

Trump’s officials have launched into talks with a series of countries seeking to negotiate lower rates. But Trump said negotiations with the European Union weren’t going well. “Our discussions with them are going nowhere! Therefore, I am recommending a straight 50% Tariff on the European Union, starting on June 1, 2025,” Trump said on social media.

Treasury Secretary Scott Bessent told Fox News on Friday that the countries he has been negotiating with in Asia have presented “interesting proposals” and he expected some deals by the end of the 90-day pause, in July.

But Bessent expressed frustration with EU leadership and said he hoped Trump’s post would spur talks.

“I would hope that this would light a fire under the EU,” Bessent said.

Trump’s team has so far announced only one preliminary trade agreement — with the United Kingdom. Talks with China resulted in steep tariffs coming down earlier this month, pending more discussions through the summer.

Trump told business leaders at an event last week in the United Arab Emirates that he did not think there would be enough time for Bessent, Commerce Secretary Howard Lutnick, and other officials to reach agreements with all major U.S. trading partners. (Bessent has said the administration is focusing on 18.) Trump said he expected that his team would simply announce new tariff rates.

“So at a certain point over the next two to three weeks, I think Scott and Howard will be sending letters out, essentially telling people … what they’ll be paying to do business in the United States,” Trump said.

 

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