EU Tariff Threat Paused: Trump Agrees to July Trade Talks

Trump Pushes Back 50% EU Tariff to July 9 After ‘Good Call’ With EU Chief

In a surprise turn, former President Donald Trump announced on Sunday that he’s delaying a planned 50% tariff on European Union imports until July 9 — just days after doubling down on tough trade talk.

Speaking to reporters at Morristown Municipal Airport in New Jersey, Trump said the delay came after what he described as a “very nice call” with European Commission President Ursula von der Leyen.

“She wants to get down to serious negotiation,” Trump said. “She asked if we could move the date from June 1 to July 9 — and I agreed. We’ll get together rapidly and see if we can work something out.”

This is the latest example of Trump walking back a tariff threat after initially rattling markets. Just Friday, he insisted the EU tariffs were set in stone and would take effect June 1. Those tariffs would have followed a previously announced — and also delayed — 20% reciprocal tariff from April.

Shortly after his remarks, Trump posted on Truth Social, confirming that trade talks would “begin rapidly.”

Von der Leyen echoed the sentiment in a post on X, calling it a “good call” and noting that the EU is ready to push ahead with negotiations. “To reach a good deal, we would need the time until July 9,” she said. “Europe is ready to advance talks swiftly and decisively.”

Market Reaction

News of the delay helped lift Asian stock markets modestly on Monday. Japan’s Nikkei 225 gained as much as 0.8%, South Korea’s KOSPI rose 0.9%, and China’s Shanghai Composite edged up 0.3%. Other indexes, including Taiwan’s TAIEX and Australia’s S&P/ASX 200, remained mostly flat, while Hong Kong’s Hang Seng slipped 0.3%.

Behind the Tariff Talk

Trump has repeatedly criticized what he calls “non-monetary trade barriers” and often targets countries or blocs that run trade surpluses with the U.S. In 2024, the U.S. reported a $236 billion trade deficit with the EU, according to Commerce Department figures.