U.S. President Donald Trump is considering imposing 25% tariffs—or higher—on imports of cars, pharmaceuticals, and semiconductors as part of an escalating trade war, Financial Times (FT) reports. Speaking on Tuesday, Trump indicated that these tariffs could increase further over the year to encourage companies to relocate manufacturing to the U.S.
“It’ll be 25% and higher, and it’ll go very substantially higher over the course of the year,” Trump said, specifically referring to pharmaceutical products and semiconductor chips. He also suggested that final details on the automotive tariffs would likely be announced on April 2, the date he previously signaled for their implementation.
This latest move is part of Trump’s broader effort to reshape U.S. trade policy and reduce reliance on foreign goods. The announcement coincided with the arrival of an EU delegation in Washington, which is attempting to prevent further trade tensions. Trump has already imposed 25% tariffs on steel and aluminum imports, set to take effect next month, and introduced an additional 10% levy on Chinese goods. However, he recently postponed plans for similar tariffs on Canada and Mexico after securing last-minute trade agreements with both countries.
According to FT, Trump also reiterated his grievances against the European Union, accusing it of unfair trade practices. He claimed the EU had already agreed to lower tariffs on U.S. car imports, suggesting that his aggressive stance was yielding results. However, European officials refuted the claim, stating that no specific agreement had been reached.
“No specific offer on reducing tariffs has been made by either side,” the European Commission said in a statement, emphasizing that any trade adjustments would need to be negotiated within a fair and rules-based framework. The Commission reaffirmed the EU’s commitment to deepening transatlantic trade relations through dialogue rather than confrontation.
