Europe’s food industry is now under direct threat, facing a potential 17% US tariff on its exports, a move that could offer a “taste of trade war.” Donald Trump’s warning impacts beloved European products like Belgian chocolate, Irish Kerrygold butter, and Mediterranean olive oil, all of which are major sellers in the US market.
The warning was reportedly delivered to EU trade commissioner Maroš Šefčovič during high-level talks in Washington with US Treasury Secretary Scott Bessent and other officials. This aggressive approach is consistent with Trump’s broader strategy, as he plans to impose permanent tariffs of up to 70% on around a dozen countries after his July 9 deadline for trade deals.
Despite the aggressive posturing, EU trade spokesperson Olof Gill stated that the bloc still “favours a negotiated solution,” confirming that “progress was made towards an agreement in principle” during discussions that will continue through the weekend. However, the EU is also making robust preparations for a potential trade war, signaling its readiness to impose retaliatory tariffs on a wide array of US products, including Bourbon and Boeing 747s, if an agreement isn’t reached before Wednesday.
European Commission President Ursula von der Leyen has emphasized the pragmatic goal of a high-level framework deal, acknowledging the limited time for a comprehensive agreement. A critical demand from the EU is immediate tariff relief in key sectors, particularly the auto industry, which is currently burdened by a substantial 27.5% US tariff. The convergence of Trump’s global deadline and the specific EU food tariff threat creates a high-pressure environment for trade negotiations.
