NBC News reports that former President Donald Trump has threatened the European Union with a sweeping 50% tariff, citing a lack of progress in trade negotiations between the two global powers.

In a post on his Truth Social platform, Trump declared, “I am recommending a straight 50% Tariff on the European Union, starting on June 1, 2025.” This proposed rate surpasses the 39% tariff he floated earlier on April 2—what he called “Liberation Day.”

The announcement triggered immediate reactions from global financial markets. European stock exchanges were hit hard, with key indices in Germany, France, and the U.K. recording significant losses. Market analysts point to investor fears over a potential trade war and the broader economic impact such a tariff could have on transatlantic commerce.

The European Union is the second-largest trading partner of the United States, with hundreds of billions of dollars in goods and services exchanged annually. Trump’s proposed tariff could severely disrupt industries on both sides of the Atlantic.

In response, the European Commission’s trade chief is scheduled to meet with the U.S. Trade Representative in the coming days to address the escalating tensions and seek possible resolutions.