The EU and Mexico criticise Donald Trump for proposed 30% tariff

The European Union (EU) and Mexico expressed their disappointment to the threat of American president Donald Trump to impose 30% of prices on their imports from August 1.

Mexico criticized what he called Trump’s “unfair contract” and insisted that his sovereignty is not negotiable, while the EU chief, Ursula von der Leyen, threatened to take “proportionate countermeasures”, if necessary. The two said they wanted to continue negotiating with the United States.

Trump warned that he would impose even higher import taxes if one of the American business partners decided to retaliate.

This week, Trump also announced new prices on goods from Japan, South Korea, Canada and Brazil compared to next month.

In the letter sent to the President of the European Commission on Friday, Ursula von der Leyen, Trump wrote: “We have had years to discuss our commercial relations with the European Union and concluded that we must move away from these trade and non-existing deficits, generated by your rate and non-tariff, policies and trade barriers.”

“Our relationship was, unfortunately, far from reciprocal,” added the letter.

In his letters to the EU and Mexico, Trump warned that if one or the other trading partner retaliated with their own import rights against the United States, he would retaliate by increasing the prices by a similar percentage beyond 30%.

The EU was a frequent target of Trump criticism. On April 2, he proposed a tariff of 20% for the goods of the block, as well as dozens of other business partners. He then threatened to increase taxes on the import of the EU 50% while the commercial talks were in a standstill.

Washington and Brussels had hoped to reach an agreement before a deadline of July 9, but there was no announcement on progress.

In 2024, the American trade deficit with the block was 235.6 billion dollars (202 billion euros; £ 174 billion), according to the office of the US trade representative.

Von der Leyen said the EU has remained ready “to continue working towards an agreement by August 1”.

“We will take all the necessary measures to protect the interests of the EU, including the adoption of proportionate countermeasures if necessary,” said Von Der Leyen.

“Little savings in the world correspond to the level of opening of the European Union and to membership of fair negotiation practices,” added its declaration.

The EU of 27 members said earlier this week that she hoped to conclude an agreement with Washington before August 1.

French President Emmanuel Macron said he was in “very strong disapproval” of Trump’s announcement.

If no agreement is concluded, the French chief suggested that the EU plan “accelerating the preparation of credible countermeasures”.

Bernd Lange, the head of the commercial committee of the European Parliament, described Trump’s decision as “a slap opposite for negotiations”.

He said it was “no way to deal with a key trading partner”, adding that Brussels should adopt countermeasures on Monday.

Some EU leaders have called to Trump. Italian Prime Minister Giorgia Meloni said in a statement that she had confidence in “a fair agreement”, adding: “he would have no sense to trigger a trade war between the two sides of the Atlantic”.

Dutch Prime Minister Dick Schoof said on social networks that the EU “should remain united and resolved” with its aim of reaching a “mutually beneficial” agreement with the United States.

The German Automobile Industry Association warned against the prospect of costs for German manufacturers and suppliers, and said that it was “unfortunate that there is a threat of a new climbing of the trade conflict”.

In his letter to the chief of Mexico, Trump said that the country had not done enough to prevent North America from becoming a “narco-vasting playground”.

“Mexico helped me secure the border, but what Mexico has done is not enough,” added Trump.

Mexican president Claudia Sheinbaum expressed her confidence that an agreement could be concluded.

“We think, on the basis of what our colleagues discussed yesterday, that we will reach an agreement with the United States and that we will of course achieve better conditions,” said Sheinbaum on Saturday.

“We are clear about what we can work with the United States and we are clear about what we cannot,” she added. “And there is something that is never negotiated, and it is the sovereignty of our country.”

Earlier on Saturday, the Mexican economy and foreign ministries qualified Trump’s prices as a “unfair contract” in a joint declaration.

Trump’s letter has not declared that if Mexico products were negotiated as part of the United States-Mexico-Canade 2020 agreement would be exempt from the proposed price increases on August 1, because the White House said it with Canada.

Earlier this week, the White House sent a letter to Canada threatening a price of 35%.

On Saturday, the Trump administration now proposed pricing conditions on 24 countries and the EU.

On April 12, the Commercial Advisor of the White House, Peter Navarro, set a goal to obtain “90 offers in 90 days”.

So far, the president has announced the contours of two of these pacts with the United Kingdom and Vietnam in the midst of the negotiations in progress.