US President Donald Trump on Monday rejected the European Union’s proposal to eliminate tariffs on industrial goods, including cars, saying it falls short of addressing the significant transatlantic trade imbalance.
“The European Union has treated us very unfairly,” Trump told reporters at the White House. “They don’t buy our cars—just like Japan. They barely take our agricultural products. They hardly take anything.”
His remarks came in response to an offer from European Commission President Ursula von der Leyen, who earlier on Monday proposed removing tariffs on industrial products as a step toward easing trade tensions with Washington.
“We have proposed zero tariffs on industrial goods… Europe is always ready to strike a fair deal with the United States,” von der Leyen said at a press briefing in Brussels. However, she cautioned, “We are also prepared to defend our interests and respond with countermeasures if necessary.”
Trump, who last week announced a 20% tariff on European imports set to take effect on April 9, insisted the EU must do more. He argued that Europe’s trade deficit with the US could be eliminated if EU nations significantly increased purchases of American energy.
“They need to buy—and commit to buy—a matching amount of energy to offset the trade gap,” he said, suggesting such a move could lead to a more balanced relationship.
The president added that any agreement would need to be worth $350 billion to erase the US-EU trade deficit. However, according to the US Trade Representative, the goods trade deficit with the EU stood at $235.6 billion in 2024.