President Donald Trump went on a Twitter rant on Friday, spewing about his frustrations with the European Union and threatening to slap them with a hefty 50% tariff starting June 1. According to Trump, the EU has been a real pain in the neck to deal with, making negotiations come to a standstill. He made it clear that he’s not in the mood to cut any deals with them in the near future.
The announcement came shortly after Trump threatened to hit Apple with a 25% tariff on their iPhones if they didn’t start manufacturing them in the good ol’ U.S. of A. This move sent shockwaves through the stock market, causing U.S. stock futures to take a nosedive and European stock markets to plummet by 2%. Trump’s flip-flopping on trade policies has left investors scratching their heads, unsure of what to expect next.
Not really sure why this matters, but the White House seemed to downplay the impact of Trump’s tariff threats, claiming it wasn’t an official policy statement. Treasury Secretary Scott Bessent even hinted that the EU better step up their game in the next nine days if they want to avoid the hefty tariffs. With tensions rising and uncertainty looming, it’s anyone’s guess how this trade war will play out in the end.
