The US President gave the EU until July 4 to implement the agreement, otherwise he would increase import taxes “to a much higher level”.
On May 7, US President Donald Trump wrote on the social network Truth Social that he was “still patiently waiting for the EU to fulfill its commitments in the historic trade agreement” the two sides reached last July.
“The EU has committed to reducing their import taxes to zero. I give them until America’s Independence Day, otherwise their import taxes will immediately jump to much higher levels,” he wrote. This announcement came after he had “an excellent phone call” with European Commission (EC) President Ursula von der Leyen.
President Donald Trump shakes hands with European Commission President Ursula von der Leyen, in Turnberry, Scotland in July 2025. Image: Reuters
Last weekend, Mr. Trump said he would raise import tariffs on cars from the European Union (EU), from 15% to 25%, because the bloc does not comply with the trade agreement. According to the agreement, the EU needs to reduce tariffs to 0% on US industrial goods, and impose tax-free quotas on some US agricultural and seafood products. However, the process of passing laws to implement this agreement in the European Parliament (EP) is going slowly.
In a post on X, Ms. Von der Leyen also said she had discussed with Mr. Trump about the trade agreement and Iran. “We remain committed to fully implementing our obligations. Progress towards tax reduction by July is progressing well,” she wrote.
EP Trade Committee Chairman Bernd Lange said EU parliamentarians and governments are making progress in completing an agreement to eliminate import taxes on US goods. However, he said “there is still a way to go” due to disagreements regarding the protective measures required by some countries in the bloc.
Some EU parliamentarians want to add tougher protection measures, including suspending the agreement if the US does not comply, only reducing tariffs when the US takes corresponding action and completely ending EU tax incentives on March 31, 2028.
US Trade Representative Jamieson Greer said the deadline for the EU to implement the agreement “has long passed”, suggesting that the US could take measures other than increasing auto tariffs if the EU does not comply. “Automobiles are only one part. There are many other issues that the US is still fully compliant with, in contrast to Europe for many months,” Mr. Greer answered on Bloomberg Television.