President Donald Trump warned that if the European Union and Canada collaborate to retaliate against U.S. tariffs, they will face significantly larger tariffs than initially planned.
Trump made this threat in a Truth Social post early Thursday morning.
“If the European Union and Canada work together to cause economic harm to the United States, substantial tariffs, far exceeding the current plan, will be imposed on both of them to safeguard our closest allies,” Trump declared in the post.
The post came after Trump announced plans to impose an additional 25% tariff on all imports of cars and light trucks, as well as certain auto parts, into the U.S.
These automotive tariffs could have a substantial impact on hundreds of billions of dollars in imports from key U.S. trading partners, including Mexico, Canada, China, South Korea, Japan, and Germany.
The vehicle tariffs are scheduled to take effect next Wednesday, while the duties on certain automotive parts are set to commence on May 3.
In response to Trump’s latest tariff threats, the EU, Canada, Mexico, and other countries have yet to issue a formal statement.
On March 12, the U.S. initiated imposing 25% tariffs on all steel and aluminum imports from all trading partners without any exceptions. Canada and the EU promptly responded by imposing new trade duties on approximately $49 billion worth of U.S. goods.
In response to Trump’s March 12 tariffs on metals, European Commission President Ursula von der Leyen defended the EU’s actions.
“As of this morning, the United States has imposed a 25% tariff on imports of steel and aluminum. We deeply regret this measure. Tariffs are essentially taxes that are detrimental to businesses and consumers alike. They disrupt supply chains and create uncertainty for the economy. Jobs are at risk, and prices will increase in both Europe and the United States. The Commission must take action to safeguard consumers and businesses,” von der Leyen stated in a news release.
