President Donald Trump has set a new deadline of July 4 for the European Union to ratify a trade agreement with the U.S., warning that failure to meet the target could result in tariffs being raised to 'much higher' levels.
The announcement, reported by CNBC, adds to a growing list of trade-related pressures from the administration, which has previously signaled a potential 25% tariff on imported cars from the EU.
The move follows earlier reports that the U.S. government has escalated its pressure on the EU, according to Bloomberg.
This latest development has reignited concerns of a deepening trade dispute between the two economic blocs, with investors closely monitoring the potential fallout on global markets.
The EU has been under increasing scrutiny from the Trump administration over trade imbalances and perceived unfair practices, particularly in the automotive sector.
The new deadline adds a clear timeline to the ongoing negotiations, which could have significant implications for both sides.