New tariff threats as an anniversary present. While the European Union was still banking on Friday 24 July, early in the day, on an easing of trade relations with the United States, three days before the anniversary date of the so-called Turnberry agreement (see EUROPE 13916/9), it found itself once again, a few hours later, in the crosshairs of the Trump administration.
The EU “will pay a very big price for this illegal and highly unethical behaviour”, White House occupant Donald Trump warned on the evening of Friday 24 July, in reaction to the fine imposed by the EU on Google (see EUROPE 13916/4).
At the same time, the President announced the launch of a new investigation under Section 301 of the Trade Act.
Just a few hours earlier, while welcoming the ‘predictability’ and ‘stability’ brought by the Turnberry joint statement (see EUROPE 13916/9), the Commission said it had “nothing to add” regarding these new threats of surtaxes.
A short-lived lull. Since the implementation of the Turnberry tariff agreement at the beginning of July, transatlantic relations had nevertheless gone through a relatively calm period. In a report published on Monday 27 July, the American Chamber of Commerce to the EU also noted renewed optimism among US companies established in Europe. A majority of them (51%) now expect trade and investment relations to remain stable over the next 12 months.
Although transatlantic relations held firm in 2025, the EU is not expecting economic results to be as convincing this year, a European official told Agence Europe last week. Threats made against Spain (see EUROPE 13905/5) or the pharmaceutical sector (see EUROPE 13914/7) have reminded observers how fragile this lull is.
The interest group Medicines for Europe, representing the pharmaceutical industry, reacted to possible customs duties targeting generic medicines imported into the United States from 2028. “If these measures were to enter into force, they could cause major medicine shortages across the United States and disrupt access to vital and essential treatments”, the organisation warned.
Tariff agreement put to the test. Exactly one year after the Turnberry statement, this anniversary therefore leaves “a bitter aftertaste”, the Chair of the European Parliament Committee on International Trade, Bernd Lange (S&D, German), declared on Monday on X.
“Instead of predictability and security, we are still facing a political roller coaster: new tariff threats, ongoing investigations and attempts to interfere with European rules and national decisions”, the MEP said, calling for cooperation rather than confrontation.
“Any unilateral increase in US customs duties on European Union products beyond the maximum ceiling agreed in the joint statement would constitute a clear violation of the commitments undertaken by the United States”, reacted his colleague Brando Benifei (S&D, Italian), Chair of the delegation for relations with the United States. The European Union should stand ready to activate the suspension clause provided for in the regulation (see EUROPE 13871/1), he told Agence Europe.
Donald Trump’s announcement came the day after a visit by MEPs to the United States. The next transatlantic dialogue between legislators is due to take place at the end of August, in California, and “will be an important opportunity to address this issue directly with members of the US Congress”, Mr Benifei added. (Original version in French by Juliette Verdes)