As Donald Trump’s July 9 global tariff deadline fast approaches, a specific threat of a 17% tariff on European food and farm produce exports has emerged, escalating trade tensions with the EU. This proposed duty targets popular European goods like Belgian chocolate, Irish Kerrygold butter, and Mediterranean olive oils, all highly sought after in the US market.
The warning was reportedly delivered to EU trade commissioner Maroš Šefčovič during recent high-level talks in Washington by top US officials. This move is consistent with Trump’s broader strategy, as he plans to send letters to around a dozen countries, imposing permanent tariffs of up to 70% after his self-imposed 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.