Trump Threatens Increased Tariffs on EU and Canada Over Economic Tensions
President Donald Trump has issued a warning that he will impose significantly higher tariffs on imports from the European Union (EU) and Canada if the two allies engage in actions that negatively impact the U.S. economy.
In a late-night post on Truth Social, Trump stated, “If the European Union works with Canada in order to do economic harm to the USA, large-scale tariffs, far larger than currently planned, will be placed on them both in order to protect the best friend that each of those two countries has ever had!”
Despite the strong rhetoric, financial markets showed little immediate reaction. Bitcoin (BTC) remained stable just below $88,000, while Germany’s DAX futures dipped 0.3%. Meanwhile, U.S. stock futures remained flat to slightly positive.
Market resilience may be attributed to recent comments from Federal Reserve Chairman Jerome Powell, who suggested that any inflationary effects from tariffs would likely be temporary.
