New Tariff Hammer from Washington: Trump Sparks New Trade Dispute with the EU

Amid De-escalation Talks, Trump Escalates Transatlantic Tariff Dispute: Steel and Aluminum Duties from the EU Doubled to 50 Percent
Brussels Responds Sharply – Tensions Rise, Risk of Full-Blown Trade War Grows
What This Means for Europe’s Industry, Exports, and Jobs

U.S. President Donald Trump is continuing his protectionist economic policy by announcing a massive increase in import tariffs on European steel and aluminum products. “We will raise tariffs on steel imports into the United States from 25 percent to 50 percent, which will further protect the American steel industry,” Trump declared on Friday at a rally in Pennsylvania. Shortly afterward, he extended the measure to aluminum imports as well, sharing via social media that the increase would apply to those products too. The implementation is set to take effect as early as Wednesday.

The European Union reacted with alarm to the unilateral move. “We deeply regret the announced increase in U.S. tariffs on steel and aluminum imports from 25 to 50 percent,” said a spokesperson for the European Commission in Brussels. The decision, the Commission stated, undermines ongoing efforts toward a negotiated solution in the transatlantic trade conflict, creates new uncertainties for the global economy, and places an additional burden on businesses and consumers on both sides of the Atlantic.

The EU is prepared to “take countermeasures.” These could take effect before July 14 — the date when previously suspended retaliatory tariffs are set to automatically resume. Initially, the EU had planned to implement its measures by April 14, but delayed action after Trump granted a 90-day exemption to certain countries, including the EU. That window was intended for negotiations. The Commission has repeatedly emphasized that it will take “decisive action” against U.S. tariffs if talks fail.

Trade Conflict Escalates – Trump’s Tariffs Hit Global Steel Industry

The new tariff hike is part of a series of protectionist moves through which Trump is increasingly pressuring global trade. Just hours before his speech on steel, he accused China of violating agreements to reduce trade barriers on critical raw materials.

Trump delivered his remarks at Mon Valley Works, a historic U.S. Steel plant in Pennsylvania — a symbolic location in the so-called Rust Belt, where many industries have suffered under globalization and cheap imports. Trump stressed that the tariff increase aims to “protect jobs in the steel industry.” According to the U.S. Department of Commerce, the United States was the world’s largest steel importer in 2024, with an import volume of 26.2 million tons — not including imports from the EU.

Additionally, Trump once again promoted the acquisition of U.S. Steel by the Japanese corporation Nippon Steel, a deal announced in late 2023 for around $14.9 billion (€13.14 billion). This partnership, Trump said, would “help secure American industrial jobs, just like the tariffs.”

Recently, there had been growing hope in the European Union that a further escalation of the tariff dispute with the United States could be avoided. But in the middle of ongoing trade negotiations, President Trump unexpectedly announced that the already existing special tariffs on steel and aluminum imports would be doubled from 25 to 50 percent.

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