President Donald Trump announced a sweeping 30 percent tariff on imports from Mexico and the European Union, set to take effect in August. Citing massive trade deficits and national security concerns, Trump emphasized that these new tariffs are in addition to existing “Secular Tariffs” already on the books, marking a major escalation in his effort to protect American industries and workers.
In two separate letters addressing the nations, President Trump criticized the United States’ two largest trading partners, Mexico, still allowing fentanyl to be crossed over the border, and the EU, posing a national security threat over its "large and unsustainable Trade Deficits against the United States.”
In a letter to Mexican President Claudia Sheinbaum Pardo, Trump accused Mexico of failing to crack down on the fentanyl crisis and prosecute violent cartel networks. He warned that she has turned “all of North America into a Narco-Trafficking Playground.” While acknowledging Mexico’s past cooperation on border security, Trump made it clear that those efforts have fallen short and more action is urgently needed.
“Mexico has been helping me secure the border, BUT, what Mexico has done, is not enough," Trump wrote. "Mexico still has not stopped the Cartels who are trying to turn all of North America into a Narco-Trafficking Playgorund. Obviously, I cannot let that happen!”
Earlier this year, Trump set his tariffs on Mexico at 25 percent.
“Starting August 1, 2025, we will charge Mexico a Tariff of 30 percent on Mexican products sent into the United States, separate from all Sectoral tariffs," Trump’s letter stated. "Goods transshipped to evade higher Tariffs will be subject to that higher Tariff.”
President Trump directed his message to European Commission President Ursula von der Leyen, stating that after years of discussions with the European Union, the U.S. can no longer ignore the massive trade deficits driven by the EU’s tariffs, non-tariff measures, and protectionist trade barriers.
Trump warned both Mexico and the EU that any retaliatory tariffs would be met with equal force—and then some. He made it clear that if they respond with their own tariffs, he will not only match them but also increase the base rate beyond the initial 30 percent.
"Whatever the number you chose to raise them by, will be added onto the 30 percent that we charge,” the president warned.
In response, Von der Leyen said that a 30 percent tariff increase would hurt businesses and consumers, including the U.S. economy. However, she said that she would “continue working towards an agreement by August 1. At the same time, we are ready to safeguard EU interests on the basis of proportionate countermeasures.”
“Few economies in the world match the European Union's level of openness and adherence to fair trading practices," von der Leyen said in a separate statement. "The EU has consistently prioritized a negotiated solution with the U.S., reflecting our commitment to dialogue, stability, and a constructive transatlantic partnership.”
This comes after the U.S. collected an unprecedented $121 billion from tariffs, setting a new all-time high, and another $27 billion boost in June 2025 alone. Thanks to President Trump’s tough, America-first trade policies, the country is seeing a significant return from the tariffs imposed on foreign nations. Read more about it here.
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