The United States has announced a 30% tax on the European Union and Mexico. US President Donald Trump stated in letters posted on his social media platform on Saturday that goods imported from both the European Union and Mexico will be subject to a 30% American tax starting August 1. The European Union hoped for a comprehensive trade agreement with the US for this group of 27 countries. But that did not happen, Trump has dropped a tariff bomb on it.
The United States has already imposed new tariffs on several countries, including Japan, South Korea, Canada, and Brazil. These tariffs will be effective from August 1st for these countries. Previously, President Trump had given all countries a deadline of July 9th.
In a letter to the Mexican leader, Trump acknowledged that Mexico has helped to curb the flow of illegal immigrants and 'fentanyl' into the United States. However, he stated that Mexico has not made sufficient efforts to prevent North America from becoming a hub for narco-trafficking.
After Trump returned to the White House, he has imposed several tariffs. This has generated billions of dollars in new revenue for the American government every month. According to U.S. Treasury figures, more than 100 billion dollars in revenue has been generated from tariffs by June of this fiscal year.