Key Points Summary – Trump Trade War

• Trump threatens 50% tariffs on EU goods and 25% on Apple products.
• Demands iPhones be made in the U.S., not India or China.
• Stock markets dip following his social media statements.
• Apple warned tariffs could raise iPhone prices to $3,500.
• EU defends its trade practices, pushing for continued talks.
• Treasury says EU suffers from a collective negotiation issue.
• Experts claim Trump’s tariff strategy is failing with allies.

Trump Trade War Heats Up: Tariff Threats Target EU and Apple

Washington – President Donald Trump just raised the stakes again.

On Friday, he fired off a new round of threats. This time, it’s Europe and Apple in his crosshairs.

He warned of a sweeping 50% tariff on all European Union imports. Additionally, he threatened a 25% tariff on Apple products made outside the U.S.

Tariffs or Else: Trump’s Demands for Apple

In a Truth Social post, Trump wrote that Apple must build iPhones in America. Otherwise, they’ll pay up.

“I told Tim Cook I expect iPhones sold in the U.S. to be made here,” he posted. “If not, Apple pays a 25% tariff.”

His tone has changed. Previously, Trump claimed tariffs hurt foreign nations. Now, he suggests companies will bear the brunt themselves.

Markets React and Prices Could Skyrocket

The markets didn’t wait to respond. The S&P 500 fell 1% following the announcement.

Bankers predict if Apple builds iPhones in the U.S., prices could soar. Some estimates suggest a $1,200 iPhone could cost up to $3,500.

Apple, like other firms, faces the tough reality of Trump’s trade war.

EU Targeted as Frustration Grows

Trump’s frustration isn’t new. But this move marks a dramatic escalation.

“The EU talks are going nowhere,” he wrote. “So, I recommend a straight 50% tariff starting June 1.”

Europe offered to cut tariffs to zero. Trump insists on maintaining a 10% floor.

Treasury Blames EU’s Structure

Treasury Secretary Scott Bessent defended the move. He blames the EU’s bureaucratic structure.

“It’s a collective action problem,” he said on Fox News. “The member states don’t know what Brussels negotiates.”

Bessent didn’t attend Trump’s meeting with Tim Cook, but said he’s spoken with Apple.

The Numbers Behind the Rhetoric

Trump claims America has a “totally unacceptable” trade deficit with the EU.

However, the EU says services offset the gap in goods. Total imbalance? Around $54 billion.

Germany’s Foreign Minister Johann Wadephul pushed back.

“These tariffs help no one,” he said. “They damage growth in both regions.”

Experts Call EU Strategy a Failure

Economist Marcel Fratscher minced no words.

“The EU’s trade strategy with Trump is a total failure,” he posted. “Trump sees concessions as weakness.”

Some argue Europe might’ve been better off joining forces with China.

Apple’s Dilemma: Caught in the Middle

Trump once praised Apple’s U.S. investments. Now, he’s openly hostile.

In Qatar, he warned Tim Cook, “I treated you well, but I hear you’re building in India. I don’t like it.”

Meanwhile, analysts doubt Apple can shift production back to America quickly.

Trump Trade War Shows No Signs of Slowing

From Walmart to Amazon, big brands face mounting pressure. Trump demands they absorb the cost—not consumers.

With Apple next in line, uncertainty grows. Supply chains are fragile, and trade deals still elusive.

Trump’s latest threats have revived fears. And as June 1 looms, the global economy braces.

The Trump trade war isn’t over. In fact, it may have just entered a new phase.