Trump's pressure on Europe to slap 100% tariffs on India and China raises eyebrows

Reports that U.S. President Donald Trump asked the European Union to slap tariffs of up to 100% connected China and India for their Russian lipid purchases has raised eyebrows connected some sides of the Atlantic, with Europe seen arsenic improbable to acquiesce to the White House's request.

Trump made the connection — archetypal reported by the Financial Times and confirmed to CNBC by 2 sources acquainted with the matter — erstwhile helium was called into a gathering with elder U.S. and EU officials successful Washington connected Tuesday. The U.S. was besides prepared to "mirror" immoderate tariffs imposed by Europe connected the 2 countries, the FT's study added. The White House has yet to respond to CNBC's petition for comments.

Asked to remark connected Trump's bid, a European Commission spokesperson told CNBC Wednesday it could not disclose gathering details owed to confidentiality, noting, "The EU has engaged with each applicable planetary partners, including India and China, successful the discourse of its sanctions enforcement efforts. This engagement volition continue."

The committee pointed to its 19th measures bundle its preparing against Moscow, saying it had "added caller sanctions tools which let america to people circumvention done 3rd countries" and that the U.S. was a "crucially important partner" successful Brussels' efforts to heap unit connected Russia's warfare economy.

Asking the EU to enforce tariffs connected cardinal Russian vigor clients India and China was seen arsenic different mode to punish their commercialized with Moscow and enactment unit connected Russia to extremity the warfare successful Ukraine.

Yet European officials look wary of alienating China and India, and the timing of Trump's petition has raised eyebrows due to the fact that it Washington is negotiating a commercialized deal with New Delhi.

The U.S. has already imposed a 50% tariff connected India, which includes a 25% punitive work it for its Russian lipid purchases. India says the tariffs are "unfair, unjustified and unreasonable," portion calling retired the U.S. and the EU's commercialized with Russia.

Ian Bremmer, laminitis of Eurasia Group, told CNBC Wednesday that the White House's latest request connected the EU was "hard to square with Trump's efforts to get to a commercialized woody with India and China, which helium prioritizes implicit getting a ceasefire successful Ukraine (let unsocial things similar Transatlantic corporate information and deterrence," Bremmer said successful emailed comments to CNBC.

"It looks much similar an effort to displacement work for a stronger effect to Europe, creating governmental screen for American inaction connected the sanctions beforehand portion avoiding a nonstop deed to U.S.-China relations."

The EU is improbable to acquiesce, analysts say. Not lone would the bloc beryllium wary of adopting Trump's contentious tariffs strategy and burning its ain bridges with India and China — contempt an economical rivalry with the Asian superpowers — but the EU has its ain analyzable trading narration with Russia.

"Everyone knows if the Europeans haven't been capable to wean themselves disconnected Russian vigor themselves much than 3.5 years into the war, they definite arsenic hellhole aren't going to chopped themselves disconnected from their apical goods import supplier," Eurasia Group's Bremmer stated.

Other analysts noted that Europe, dissimilar Trump, has an aversion to imposing tariffs arsenic portion of a commercialized playbook, arguing that the bloc shouldn't beryllium drawn into his commercialized wars.

"No 1 successful Europe believes tariffs are an effectual commercialized argumentation instrumentality ... Europe would similar diplomacy to code issues, alternatively than outright commercialized war," Bill Blain, marketplace strategist and laminitis of London-based Wind Shift Capital, said successful his Morning Porridge newsletter connected Wednesday.

"Europe's effect should beryllium 'no.' Trump kicked the hornets nest – fto him woody with the consequences. But let's spot what happens," Blain concluded.

The EU has a analyzable trading narration with Russia. This is apt to forestall the bloc from punishing different nations for doing concern with Moscow, erstwhile the EU does truthful excessively — albeit astatine a acold little level than earlier the Ukraine warfare began successful 2022.

The EU's bilateral commercialized with its neighbour stood astatine 67.5 cardinal euros ($78.1 billion) successful 2024, according to European Commission data, with the EU's imports were worthy 35.9 cardinal euros and dominated by substance and mining products. EU exports to Russia totaled 31.5 cardinal euros successful 2024.

The EU has struggled to wean itself disconnected Russian state and LNG (liquefied earthy gas) imports completely. Russia's stock of EU imports of pipeline gas dropped from implicit 40% successful 2021 to astir 11.6% successful 2024, portion Moscow accounted for little than 19% of full EU pipeline state and LNG imports successful 2024, the commission's information notes.

The U.S. has encouraged its European allies to power to U.S. LNG.

Trump said the EU had pledged, arsenic portion of its model commercialized woody with the U.S. — which saw 15% tariffs imposed connected the bloc's exports to the States — to acquisition U.S. LNG, lipid and atomic vigor products with an expected offtake valued astatine $750 billion implicit the adjacent 3 years.

U.S. Secretary of Interior Doug Burgum told CNBC Wednesday that the Trump medication is looking to thrust up the U.S.' marketplace stock of the vigor assemblage successful Europe.