A major escalation in trade tensions has emerged as the US president warned of steep tariffs and potential restrictions on certain trade with Europe, directly targeting a new proposal that has drawn sharp criticism from Washington. The move signals a hardening stance on economic policy, with officials hinting at broader implications for transatlantic relations if the dispute isn’t resolved. Businesses and lawmakers are now bracing for possible disruptions in key sectors as negotiations remain stalled. The development underscores growing friction over economic priorities between the two allies.
The US president threatened heavy tariffs and said the US could cut some trade with Europe over the proposed status.