World

US tariff threat could cripple EU trade, Brussels warns ahead of 1 Aug deadline

Brussels urges resolution as proposed 30% tariffs from Washington risk derailing talks and harming €72bn in transatlantic trade

Updated 1 year ago · Published on 15 Jul 2025 7:36AM

US tariff threat could cripple EU trade, Brussels warns ahead of 1 Aug deadline
Sefcovic described the proposed 30% tariffs as “highly prohibitive to any form of trade”, reiterating the EU’s goal of protecting European jobs, businesses and the wider economy - July 15, 2025

THE European Union has issued a stark warning that Washington’s proposed 30% tariff on EU goods could bring trade between the two blocs to a standstill, and is pushing for a negotiated solution before the 1 August deadline.

Bernama-Anadolu reported EU Commissioner for Trade and Economic Security Maros Sefcovic and Danish Foreign Minister Lars Lokke Rasmussen, while speaking at a press conference in Brussels on Monday, underlined the bloc’s commitment to dialogue, while stressing that EU member states stand united.

On Saturday, US President Donald Trump announced the new tariffs, which would also apply to Mexican goods, citing stalled trade talks. The EU and the United States had been expected to finalise a trade agreement this month.

“The EU, as you know, never walks away without a serious effort,” said Sefcovic. “Especially considering how much work has already gone into this, how close we are to an agreement, and the clear benefits of a negotiated settlement. But as I have said before, it requires cooperation from both sides.”

He confirmed that high-level discussions are ongoing with US counterparts, including President Trump and White House officials.

“We want to use every day, every opportunity, and every minute until 1 August to find a negotiated solution,” he added.

Sefcovic described the proposed 30% tariffs as “highly prohibitive to any form of trade”, reiterating the EU’s goal of protecting European jobs, businesses and the wider economy.

“I have been very clear with our US counterparts. Any agreement must have the support of the member states and the European Parliament, and it must also be acceptable to us,” he said.

He added the European Commission has proposed that member states begin discussions on a second package of rebalancing measures targeting approximately €72 billion (US\$84.2 billion) worth of US goods, should the tariffs be imposed.

Rasmussen echoed the sentiment, calling the US announcement “completely unacceptable and unfounded” from the perspective of EU member states.

He emphasised the unity among EU nations in opposing the measure and affirmed their readiness to act should negotiations break down.

“We do not want a trade war with the US. We want to avoid it – and so far, we have succeeded. But we also want to send a clear signal that any deal must be a fair one for all sides. If that cannot be achieved, then no option is off the table,” he said. - July 15, 2025

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