Trump fires new tariff threats at Apple and EU
By AFP
May 23, 2025
New Apple iPhone 16 models released late in 2024 boast generative artificial intelligence features - Copyright AFP Frederic J. BROWN
President Donald Trump ratcheted up the US trade war on Friday, threatening to impose a new 25 percent levy against Apple, and a 50 percent tariff on the European Union.
Lamenting that negotiations with the EU “are going nowhere,” Trump said on Truth Social that he is recommending “a straight 50% Tariff on the European Union, starting on June 1, 2025.”
If the new duties come into effect, they would dramatically hike the current US baseline levy of 10 percent, and raise economic tensions between the world’s biggest economy and its largest trading bloc.
In a separate message, the president said Apple had failed to move iPhone production to the United States despite his repeated requests, and he threatened new duties of “at least” 25 percent if they did not comply.
Stock futures on Wall Street fell on the news, with Apple’s share price plunging more than three percent in pre-market trading.
The VIX volatility index, known as Wall Street’s “fear gauge,” was up more than 20 percent.
– ‘Difficult’ negotiations –
Last month, Trump imposed sweeping tariffs against most countries, introducing steep duties for several trading partners — including the EU — and sector-specific measures on automobiles, steel and aluminum not produced in the United States.
Markets tanked following the announcement, and a few days later, the US president announced he would roll back the higher levies to 10 percent for a 90-day pause to allow for trade negotiations, while keeping the sector-specific measures in place.
US President Donald Trump has threatened to hike tariffs on goods from the European Union to 50 percent – Copyright AFP Jim WATSON
Since then, Trump has announced a deal to permanently roll back some sector-specific tariffs on Britain, and another agreement with China to reduce prohibitively-high levies and retaliatory measures for 90 days.
The talks between the United States and the EU have failed to make much progress, with Brussels recently threatening to hit US goods worth nearly 100 billion euros ($113 billion) with tariffs if it does not lower the duties on European goods.
In his early morning social media post on Friday, Trump said the EU had been “formed for the primary purpose of taking advantage of the United States on TRADE,” and took a swipe at the “difficult” negotiations taking place.
An EU spokesperson declined to comment on the threats of new tariffs, telling AFP that a call was set to take place later Friday between EU Trade Commissioner Maros Sefcovic and US Trade Representative Jamieson Greer.
– US-made iPhones ‘not feasible’ –
Trump’s fresh criticism of Apple revived the pressure on chief executive Tim Cook to do more to bring manufacturing jobs back to the United States from Asia.
The problem, according to Wedbush Securities analyst Dan Ives, is that reshoring iPhone production to the United States “is a fairy tale that is not feasible.”
“This would result in an iPhone price point that is a non-starter for Cupertino and translate into iPhone prices of ~$3,500 if it was made in the US,” he wrote in a note to clients.
This, he added, “is not realistic,” adding that it would take up to 10 years to shift production to the United States.
burs-da/bgs
Tom Boggioni
May 23, 2025
RAW STORY
Donald Trump (Reuters)
As part of a flurry of posts on Truth Social on Friday morning, Donald Trump is now proposing slamming the European Union (EU) with a massive new tariff because of the "unacceptable" trade imbalance the U.S. has rung up.
Moments after threatening Apple and executive Tim Cook with a 25 percent tariff unless iPhones are made in the U.S., the president moved on to another threat certain to roil the stock market.
On Truth Social he wrote: "The European Union, which was formed for the primary purpose of taking advantage of the United States on TRADE, has been very difficult to deal with. Their powerful Trade Barriers, Vat Taxes, ridiculous Corporate Penalties, Non-Monetary Trade Barriers, Monetary Manipulations, unfair and unjustified lawsuits against Americans Companies, and more, have led to a Trade Deficit with the U.S. of more than $250,000,000 a year, a number which is totally unacceptable."
Complaining "Our discussions with them are going nowhere!" he announced, "Therefore, I am recommending a straight 50% Tariff on the European Union, starting on June 1, 2025. There is no Tariff if the product is built or manufactured in the United States. Thank you for your attention to this matter!"
You can see his post here.
Trump suggests 50% tariff on EU goods starting in June
US President Donald Trump on Friday threatened a 50% tax on all imports from the European Union, as the trade war intensifies.
US President Donald Trump has recommended Friday a 50% tariff on the European Union after complaining that negotiations were not going well and Brussels was “difficult to deal with”.
Trump took to social media to share his thoughts, suggesting the elevated duty to start on 1 June, in less than a month.
The US president said he wants to charge higher import taxes on goods from the EU, a long-standing US ally, than from China, a geopolitical rival that had its tariffs cut to 30% this month so Washington and Beijing could hold negotiations.
Trump was upset by the lack of progress in trade talks with the EU, which has insisted on cutting tariffs to zero even as the president has publicly insisted on preserving a baseline 10% tax on most imports.
“Our discussions with them are going nowhere,” Trump posted on Truth Social. “Therefore, I am recommending a straight 50% tariff on the European Union, starting on 1 June 2025. There is no tariff if the product is built or manufactured in the United States.
Truth Details
3423 replies
The EU declined to comment on the US president’s words.
The European Union and the United States have been negotiating a new trade agreement, and Euronews learnt that they have recently shared position papers that were radically apart.
Apple also threatened
That post had been preceded by a threat of import taxes against the US tech giant Apple.
Apple now joins Amazon, Walmart and other major US companies in the White House's crosshairs as they try to respond to the uncertainty and inflationary pressures unleashed by his tariffs.
“I have long ago informed Tim Cook of Apple that I expect their iPhones that will be sold in the United States of America will be manufactured and built in the United States, not India, or anyplace else,” Trump wrote. “If that is not the case, a tariff of at least 25% must be paid by Apple to the US.”
In response to Trump’s tariffs on China, Apple and CEO Tim Cook were looking to shift iPhone manufacturing to India as the company adjusts its supply chains. That plan has become a source of frustration for Trump, who also brought it up last week during his Middle East trip.
Stock futures sold off after Trump's postings.
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