US President Donald Trump has threatened a 200% tariff on all alcohol coming into the US from the EU, in the latest twist in an escalating trade war, the BBC reports.
Trump made this threat in response to the EU's announcement to impose duties on US-made whiskey, part of a countermeasure to US tariffs on all steel and aluminum imports.
He called for the immediate lifting of the European tariff on American whiskey, calling the EU "nasty," "hostile and offensive" and "formed solely with the aim of exploiting the United States."
A European Commission spokesperson said that "talks are being prepared" between the US and the EU to discuss the situation.
It has been confirmed that the European Commissioner for Trade, Maroš Šefčovič, has “contacted his American colleagues” after Trump threatened retaliation over EU tariffs on Wednesday.
Writing on Truth Social, Trump said that a tariff on alcohol imports from the EU would be "great for the wine and champagne business in the US."
This latest threat represents a continuation of the escalation of the trade war that has rocked financial markets amid concerns about its impact on economies and consumers in many countries around the world, including the United States.
On Wednesday, Trump continued his plan to expand US tariffs on steel and aluminum, imposing a single 25% duty and ending exemptions that the US had previously granted to some countries.
This followed a decision earlier this month that increased duties on Chinese imports to the US to at least 20%.
Trump has also threatened to impose tariffs – which are taxes on goods entering the country – on a range of specific products, including copper, lumber and automobiles.
Leaders from Canada and Europe called the new taxes unjustified and responded by imposing their own tariffs on various American products.
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