Trump Announces 30% Tariffs on Mexico and EU Starting August 1
US President Donald Trump has announced plans to impose a 30% tariff on imports from Mexico and the European Union starting August 1, citing stalled trade negotiations and ongoing disputes over drug trafficking and trade imbalances. The announcements were made in two separate letters posted on Trump’s Truth Social platform on Saturday, intensifying his administration’s aggressive trade policy stance.
The tariff threat follows weeks of negotiations between Washington and its key trading partners that failed to yield a comprehensive trade deal. Trump accused Mexico of not doing enough to stem the flow of illicit drugs into the United States, while also citing a persistent trade imbalance with the European Union as justification for the move.
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In response, Mexico strongly objected to the proposed duties, calling them an “unfair deal.” According to a joint statement issued by the Mexican economy and foreign ministries, Mexican officials had conveyed their disagreement during trade talks held in the US on Friday. “We mentioned at the table that it was an unfair deal and that we did not agree,” the statement said, signaling rising tensions between the two neighbors.
The European Union, which had been bracing for such an announcement after a recent escalation in US trade actions, also reacted cautiously. European Council President Antonio Costa expressed continued support for reaching a balanced agreement with the US. “The EU will continue to build strong trade partnerships worldwide,” he said, stressing that free and fair trade is essential for job creation, economic prosperity, and resilient supply chains.
The EU had initially aimed for a comprehensive trade agreement with the United States, including the elimination of tariffs on industrial goods. However, months of difficult negotiations have led EU officials to lower expectations, with a more limited interim agreement now seen as the most realistic outcome. Internal divisions within the bloc have further complicated matters, as industrial heavyweight Germany pushes for a quick resolution to protect its manufacturing sector, while countries like France urge negotiators to avoid accepting a one-sided deal driven by US demands.
Trump’s latest tariff threats come on the heels of other new trade actions this week, which included duties on imports from countries such as Japan, South Korea, Canada, and Brazil, as well as a steep 50% tariff on copper. The wave of protectionist measures has begun to significantly boost revenue for the US government, with customs duties crossing the $100 billion mark for the federal fiscal year through June, according to data released Friday by the US Treasury.
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