Trump Intensifies Tariff Rhetoric, Targets EU and Smartphones

Donald Trump reaffirmed his intent to impose a 50% tariff on the European Union and a 25% levy on smartphones manufactured outside the U.S., including Apple and Samsung products. He stated the new tariffs will begin on June 1, marking a more aggressive phase in his trade policy.

Criticism of the EU and Oval Office Ultimatum

From the White House, Trump accused the European bloc of deliberately stalling negotiations and enacting unfair measures against American companies. “We’ve already set the deal: it’s 50%,” he declared, emphasizing that the EU has no room to avoid the tariff hike.

Social Media as a Platform for Economic Pressure

Trump used his social media channels to reiterate his position, warning that the new 25% smartphone tariff would be implemented before the end of June. “It’s time to play the game my way,” he wrote, further escalating tensions with traditional trade partners.

Immediate Impact on Financial Markets

The tariff threats triggered a sharp pullback on Wall Street: the S&P 500 fell 0.7%, the Nasdaq 100 dropped 0.9%, and the Dow Jones declined 0.6%. Apple led tech losses with a drop of over 3%, sparking concern among investors.

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Trump Downplays Repercussions, Shifts Blame

The former president suggested that foreign companies or retailers like Walmart would absorb the tariff costs. However, he admitted that some of the impact might reach consumers. “Sometimes the country absorbs it, sometimes Walmart, and sometimes you just have to pay,” he said.

European Response: Proposals and Warnings

While the Treasury Secretary sought a conciliatory tone at the G7, the EU presented a proposal to restart dialogue. Maros Sefcovic stressed that relations should be based on mutual respect, not threats. European leaders criticized Trump’s remarks and reaffirmed their commitment to diplomacy.

Potential European Retaliation and Rising Tensions

The tariffs would affect $321 billion in goods, reducing U.S. GDP by 0.6%. The EU is preparing retaliatory measures worth €95 billion and has initiated a 90-day moratorium to ease tensions. European officials accuse the U.S. of imposing unworkable unilateral conditions.