US President Donald Trump has vowed to introduce additional tariffs following his decision to impose import taxes on steel and aluminum entering the United States—a move that prompted retaliation from the European Union (EU) and Canada.
In response to the countermeasures, Trump stated that he would “of course” take action, reiterating his intention to introduce “reciprocal” tariffs next month on multiple countries worldwide.
“Whatever they charge us with, we’re charging them,” he said.
Trump’s warning signaled a further escalation of the ongoing trade war, which has unsettled financial markets and raised concerns about its impact on global economies and consumers, including those in the US.
On Wednesday, Trump proceeded with his plan to expand US tariffs on steel and aluminum, imposing a 25% blanket duty and revoking exemptions previously granted to certain countries.
This decision followed an earlier order issued this month that increased tariffs on Chinese imports to at least 20%.
Additionally, Trump has threatened to impose tariffs—taxes applied to imported goods—on a broader range of products, including copper, lumber, and automobiles.
Leaders in Canada and Europe denounced the new metal tariffs as unjustified and retaliated with their own tariffs on various US goods.
Meanwhile, key metal suppliers to the US, including the UK, Australia, Mexico, and Brazil, refrained from taking immediate retaliatory action.
“Like everybody else, I’m disappointed to see global tariffs on steel and aluminum, but we will take a pragmatic approach,” said UK Prime Minister Sir Keir Starmer.
“We are negotiating a deal that includes tariffs if we succeed. But we will keep all options on the table.”
Trump asserted that his goal was to boost US steel and aluminum production in the long run, but critics argue that in the short term, the tariffs will drive up costs for US consumers and slow economic growth.
Major food manufacturers, including Quaker Oats and Folgers Coffee, urged Trump to grant exemptions for imported products such as cocoa and fruit, according to a letter obtained by Reuters.
PepsiCo, Conagra, and J.M. Smucker also requested exemptions for ingredients unavailable from US sources, as stated in a letter sent by the Consumer Brands Association trade group.
According to Reuters, coffee, oats, cocoa, spices, tropical fruits, and tin mill steel—used in food and household goods packaging—are among the imports listed as not domestically produced.
The import taxes are also expected to reduce global demand for non-US-made steel and aluminum, dealing a blow to metal producers in other countries.
The EU estimated that the latest US tariffs impact approximately 5% of its total exports to the US, while Canada sends roughly 90% of its steel and aluminum exports to the US.
On Wednesday, US stock markets showed mixed performance after two days of sharp declines. The Dow fell by 0.2%, while the S&P 500 climbed nearly 0.5%, and the Nasdaq surged by 1.2%.
Speaking at the White House alongside Irish Prime Minister Micheál Martin, Trump reaffirmed his stance on trade, stating he had no plans to back down and expressing dissatisfaction with EU trade policies.
He pointed to legal penalties imposed on Apple and claimed that EU regulations put US agricultural products and automobiles at a disadvantage.
“They’re doing what they should be doing, perhaps for the European Union, but it does create ill will,” he remarked.
Doubling down on his threat to impose tariffs on European cars, he later added, “We’re going to win that financial battle.”
