Donald Trump threatens EU with 50% tariffs, sending stock markets plummeting
US President Donald Trump threatened the European Union (EU) on Friday, May 23, with a 50% tariff on European products imported into the United States starting June 1, saying the ongoing negotiations were "going nowhere."
"It is very difficult to deal with the EU, which was created in the first place to take advantage of the United States from a commercial point of view. (…) Our discussions are going nowhere. Under these conditions, I recommend imposing 50% tariffs on the EU, starting June 1. There are no tariffs on products made in the United States," he wrote on his Truth Social platform.
European stock markets plummeted after Donald Trump 's announcement. The Paris Stock Exchange was down 2.43% around 2 p.m., Frankfurt was down 2.03%, and Milan was down 2.77%. The CAC 40 also deepened its losses to more than 3% on Friday, weighed down by its luxury and automotive heavyweights.
At around 12:15 GMT, the index was down 3.06% at 7,624.44 points. Luxury sector stocks Kering (down 3.90% at €168.90), Hermès (down 4.14% at €2,336.00) and LVMH (down 3.16% at €469.95), which are particularly dependent on the US market, were falling sharply. The Stellantis automotive group , which also has a strong presence in the United States, was down 4.74% at €8.74.
La Croıx
%3Aquality(70)%3Afocal(4244x1162%3A4254x1172)%2Fcloudfront-eu-central-1.images.arcpublishing.com%2Fliberation%2F3INMLEALDRFGBCBDOZCALUFLBU.jpg&w=1280&q=100)
