Europe’s esteemed culinary exports are facing the prospect of a steep 17% US tariff hike, as Donald Trump threatens new duties on food and farm produce. This move, which emerged from talks in Washington, could significantly impact beloved items like Belgian chocolate, Irish Kerrygold butter, and olive oil from Italy, Spain, and France, all highly popular with American consumers.
The warning was reportedly delivered to EU trade commissioner Maroš Šefčovič during his meeting with US Treasury Secretary Scott Bessent, Trade Representative Jamieson Greer, and Commerce Secretary Howard Lutnick. This highlights Trump’s consistent “aggressive negotiating position” as he seeks to extract concessions from the EU, a bloc he once controversially labeled “nastier” than China in trade.
Despite the escalating tensions, the European Union maintains a preference for a negotiated solution, with spokesperson Olof Gill confirming ongoing progress towards an agreement in principle. However, the EU has also made it clear that it is preparing for a potential trade war, with retaliatory duties on various US products, including Bourbon and Boeing 747s, if an amicable resolution isn’t reached before the upcoming deadline.
This latest tariff threat is consistent with Trump’s broader strategy, as he plans to send letters to approximately a dozen countries, imposing permanent tariffs of up to 70% after his self-imposed July 9 deadline for trade deals. European Commission President Ursula von der Leyen highlighted the difficulty of securing a comprehensive deal within the tight timeframe, instead aiming for a high-level framework agreement. The EU is also seeking immediate tariff relief for critical sectors, particularly the auto industry, which currently faces a substantial 27.5% US tariff.