Trump Imposes 30% Tariff on EU and Mexico Imports Amid Stalled Trade Talks

Internal divisions within the EU have further complicated negotiations.

By DTD- On Jul 12, 2025

Washington, D.C: President Donald Trump announced a sweeping 30% tariff on imports from Mexico and the European Union, set to take effect on August 1, following failed negotiations to secure a comprehensive trade deal with key U.S. allies. The announcement was made Saturday via separate letters posted on Trump’s social media platform, Truth Social.

The move follows a series of recent tariff measures targeting multiple countries, including Japan, South Korea, Canada, and Brazil, as well as a newly introduced 50% duty on copper imports. The fresh duties mark a sharp escalation in Trump’s protectionist trade agenda during his second term in office.

The European Union had been hoping to finalize a broad trade agreement with the United States that would include the elimination of tariffs on industrial goods. However, months of complex negotiations have yielded little progress, forcing EU leaders to consider an interim arrangement as a fallback.

Internal divisions within the EU have further complicated negotiations. Germany has pushed for a swift agreement to shield its critical manufacturing sector, while countries like France have urged caution against accepting terms they view as heavily skewed in Washington’s favor.

The imposition of tariffs on one of America’s largest trading partners comes as part of Trump’s broader economic strategy, which he claims is boosting domestic industries and generating substantial revenue. According to the U.S. Treasury Department, customs duties collected by the government surpassed $100 billion for the current fiscal year through June.

While the tariffs are expected to raise costs for U.S. importers and potentially strain consumer prices, Trump has defended the moves as necessary leverage to secure fairer trade terms and protect American jobs.

With just weeks before the new tariffs take effect, both EU and Mexican officials are expected to respond, potentially setting the stage for renewed tensions or retaliatory measures in the months ahead.