Trump Sets 4 July Deadline for EU Trade Deal

US President Donald Trump has warned the European Union (EU) it faces sharply higher tariffs unless the bloc fully implements a trade agreement by 4 July.

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Trump issued the ultimatum after speaking by phone with Ursula von der Leyen, saying he had agreed to give the EU until the United States’ 250th Independence Day anniversary to remove its tariffs on American goods.

Posting on social media, Trump said the EU had already signed a “historic trade deal” with Washington and committed to cutting its tariffs.

“I agreed to give her until our Country’s 250th Birthday or, unfortunately, their tariffs would immediately jump to much higher levels,” Trump wrote.

The warning raises pressure on Brussels as negotiations continue over how to implement the agreement reached last year.

Dispute over implementation

The trade deal was initially struck in July last year between Trump and von der Leyen, aiming to ease tensions in transatlantic trade.

Under the agreement, exports from the EU to the United States would face a 15% tariff. Trump had previously threatened tariffs of up to 30% on European goods if talks failed.

Despite the announcement of the deal, efforts to formally enact it have stalled.

On Wednesday, negotiations between EU lawmakers and member state governments ended without a final agreement on the legislation required to implement the arrangement.

Von der Leyen said discussions were continuing and described the process as moving in a positive direction.

“We are making good progress towards tariff reduction,” she wrote on social media platform X, adding that both sides remained “fully committed” to carrying out the agreement.

European Parliament conditions

The European Parliament gave conditional approval to the trade deal in March.

A majority of lawmakers supported legislation needed to implement the agreement but added safeguards designed to ensure the United States would uphold its commitments.

Members of parliament said they would only accept zero tariffs on American goods if certain European exports were protected.

Specifically, they demanded that European products made with steel and aluminium be excluded from the United States’ global 50% tariffs on those metals.

The deal must also be approved by all 27 EU member states before it can take effect.

Negotiations continue

Talks between EU institutions and national governments are ongoing.

Bernd Lange, the European Parliament’s chief negotiator on the issue, said discussions were progressing but acknowledged more work remained.

“There is still some way to go,” Lange said earlier on Thursday.

Negotiators are scheduled to meet again on 19 May in Strasbourg for another round of talks aimed at resolving the remaining disputes.

Lange said parliament would continue pushing to secure guarantees for both European citizens and businesses.

“We remain more committed than ever to advance and defend Parliament’s mandate so as to provide additional guarantees that will benefit citizens and companies in both the EU and the US,” he said in a statement.

Rising tensions over tariffs

The latest warning follows earlier criticism from Trump that the EU was failing to meet its commitments under the agreement.

Last week, the US president accused the bloc of “not complying with our fully agreed to trade deal” in a post on his Truth Social platform.

He also threatened to raise tariffs on trucks and cars to 25% if the dispute continued.

The original trade framework was reached last July after Trump met von der Leyen following a round of golf at his resort in Turnberry, Scotland.

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Adapted by ASEAN Now. Source 8 May 2026