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EU Warns of 30% US Tariff Threatening Trade

7/16/2025

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Šefcovic Warns Tariffs

Maroš Šefcovic, the EU's trade commissioner, sounded the alarm over a looming 30% US tariff that could cripple transatlantic trade. With negotiations in full swing, the EU has delayed retaliatory tariffs on $25 billion worth of US exports, underscoring the pressing need for a fair agreement before President Trump's August 1 deadline.

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Trump Secures Trade Deal

President Trump has struck a preliminary trade deal with Indonesia, easing tensions after threatening a hefty 32% tariff. This agreement opens the door for American goods, aiming to eliminate tariffs and boost US access to Indonesia's market. Despite being a key copper exporter, Indonesia remains a small player in US trade, with minimal annual transactions.

History

Historical Context

The Smoot-Hawley Tariff Act of 1930 raised US tariffs on over 20,000 goods, worsening the Great Depression and prompting retaliatory tariffs from trading partners. Today, the European Union faces a potential 30% US tariff, reminiscent of past protectionist measures. Concurrently, President Trump's trade deal with Indonesia aims to reduce tariffs, highlighting ongoing global trade tensions and the complexities of economic relations.

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Šefcovic Warns Tariffs

Maroš Šefcovic, the EU's trade commissioner, sounded the alarm over a looming 30% US tariff that could cripple transatlantic trade. With negotiations in full swing, the EU has delayed retaliatory tariffs on $25 billion worth of US exports, underscoring the pressing need for a fair agreement before President Trump's August 1 deadline.

1 / 3