CITY – May 8, 2024 –
Former president Donald Trump’s proposal of a 50% tariff on European Union goods, effective June 1st, has sent ripples across the global economy. With this trade threat, the EU braces for impact as Trump’s intentions have been made clear. International figures now weigh in.To understand the developments, further insights are anticipated.
Trump’s Trade Threat: EU Braces for Potential 50% Tariffs
Former President Donald Trump has proposed imposing 50% duties on goods from the European Union, starting June 1. Trump announced this intention on his social media platform, asserting that it is indeed very tough to deal wiht the European Union, formed with the aim of taking advantage of the United States on trade.
He further stated that our discussions with the EU are not going anywhere.
EU Response and Diplomatic Efforts
In response to Trump’s announcement, Maros Sefcovic, the EU Commissioner for Commerce, is scheduled to speak with Jamieson Greer, one of the U.S. negotiating leaders. The phone call is expected to take place around 5:30 p.m. Central European Time. The EU Commission has issued a “no comment” statement regarding the proposed tariffs, pending the outcome of these discussions.
Brussels sources indicate that both sides have already exchanged lists of requests. The EU believes it has presented a detailed and structured proposal, reaffirming its willingness to address trade imbalances and suggesting a zero duties
approach on industrial products.
Market Impact: Apple’s Stock Decline
the potential trade war has already impacted the stock market. Apple’s stock price fell sharply, losing 2.86% on Wall Street, fueled by the threat of 25% duties on iPhones. Bloomberg reported that this decline erased more than $100 billion from Apple’s market value at the start of trading.
International Reactions
Trump’s tariff threats have drawn criticism from various international figures:
- Germany: German Foreign Minister Johann Wadephul stated that higher U.S. customs duties on imports from the EU
do not help anyone
andlead only to a suffering of the economic advancement of both markets.
- Italy: Italian Foreign Minister Antonio Tajani, speaking from Mexico City, offered
no comment
on Trump’s statements, emphasizing thatwe wait for the talks of this evening of Commissioner SEFCOVIC with the US interlocutors.
tajani added,I had a long phone call with sefcovic also talking about content,our line is to get to an agreement,no commercial war,the goal is always zero duty-duties.
- France: France has called for
de-Escalation
on the issue of duties,while also asserting that the European Union is prepared to respondto the decisions of the US president.
