In a move that has sent shockwaves across global trade, USA President Donald Trump has announced the imposition of a 20% tariff on all imports from the European Union (EU) and 15% from Norway. This decision marks a dramatic escalation of the U.S.’s trade war with the EU and other major economies, including China (34%), Vietnam (46%), Japan, Taiwan, and South Korea — all labeled as “worst offenders” by the U.S.
Trump’s “Liberation Day” tariffs: A new era of trade protectionism
On April 2, 2025, President Trump unveiled what he dubbed his “Liberation Day” tariffs, applying a blanket 20% duty on European goods. The announcement, made in the White House Rose Garden, follows a broader move in which USA imposed a 10% tariff on all imports. This marks a stark departure from previous trade practices, as tariffs have not been this high since the Great Depression in the 1930s.
Trump’s rhetoric during the announcement was characteristic of his combative approach to trade. He criticized the European Union for what he described as unfair trade practices and economic exploitation. “For decades, our country has been looted, pillaged, raped and plundered by nations near and far, both friend and foe alike,” Trump remarked. “Now we’re going to charge the European Union. They’re very tough traders… they rip us off. It’s so pathetic.”
The tariffs are part of a broader strategy that includes additional duties on goods from about 60 countries, which Trump labeled “the worst trade offenders.” The 10% baseline tariff will take effect on April 5, while the additional 20% duties on EU and other nations will follow on April 9 at 00:01 USA time.
How Trump’s tariffs affect EU economies and global exporters
The decision to target European imports with a 20% tariff is a significant blow to the EU’s economy, with immediate consequences for both exporters and consumers. Italian Prime Minister Giorgia Meloni was among the first European leaders to condemn the move, arguing that it was “wrong and not in the interest of either party.” Meloni, who has maintained cordial relations with Trump, warned that the move could lead to a trade war that would ultimately weaken the West and play into the hands of rival global powers.
According to Trump’s administration, the new tariff structure is based on a principle of “reciprocal fairness,” aiming to charge countries roughly half of what the U.S. claims they impose on American goods. However, experts and EU officials contest both the methodology and the figures.
The EU has estimated that the tariffs the bloc charges on U.S. imports amount to 39%, a figure which Trump has halved to justify his 20% tariff. However, European officials have rejected the U.S. administration’s claim that EU regulations, such as its value-added tax (VAT) system and tech policies, unfairly target American businesses. Despite these claims, the EU’s tariff rates remain relatively low, averaging just 2.7%, according to the World Trade Organization.
The tariffs on European goods are part of a broader strategy that involves levies on products from China, Japan, and other nations, with some countries facing even steeper duties. For example, China will face a 34% tariff, while Vietnam is hit with a staggering 46% tariff.
In Europe, the new tariffs are expected to significantly impact businesses that rely on exports to the U.S., with many companies in Denmark, Sweden, Norway, Finland and other EU countries already preparing for the financial fallout. In Denmark, which exports goods worth approximately 60 billion DKK (approximately €8 billion) annually to the U.S., the new tariffs present a serious challenge. Danish companies, particularly those in the manufacturing and tech sectors, will need to adjust to the higher costs associated with exporting to the U.S.
What Trump’s tariffs mean for the future of global trade
This tariff offensive has set the stage for a potential trade war of unprecedented scale. U.S. trade partners, including the EU, China, and Japan, have vowed to respond with retaliatory measures, though the specifics of these responses remain unclear.
As the U.S. continues its aggressive trade stance, questions arise about the long-term consequences for global supply chains, international relations, and the global economy. The situation remains fluid, with more developments expected in the coming weeks. Whether Trump’s trade policies will achieve their intended goals or lead to a broader economic slowdown remains to be seen.
For now, businesses around the world are bracing for the ripple effects of Trump’s latest tariffs, which could reshape the future of international trade in ways that were previously unimaginable.
