Donald Trump has imposed a 30 per cent tariff on goods imported from both the European Union and Mexico.
The US President took to his social media to announce the trade rates that come into force on August 1.
In his letter to the EU, Trump wrote: "We have had years to discuss our trading relationship with The European Union, and we have concluded we must move away from these long-term, large, and persistent, trade Deficits, engendered by your tariff, and non-Tariff, policies, and trade barriers.
"Our relationship has been, unfortunately, far from reciprocal."
Donald Trump has imposed a 30 per cent tariff on goods imported from both the European Union and Mexico
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President of the European Commission, Ursula Von Der Leyen, said: "Imposing 30 percent tariffs on EU exports would disrupt essential transatlantic supply chains, to the detriment of businesses, consumers and patients on both sides of the Atlantic.
"The EU has consistently prioritised a negotiated solution with the US, reflecting our commitment to dialogue, stability, and a constructive transatlantic partnership.
"We remain ready to continue working towards an agreement by August 1.
"At the same time, we will take all necessary steps to safeguard EU interests, including the adoption of proportionate countermeasures if required."
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Ursula von der Leyen said that imposing 30 percent tariffs on EU exports would disrupt essential transatlantic supply chains
ReutersChief Economist of the Institute of International and European Affairs, Dan O'Brien, wrote on X that the latest tariff on EU goods would have a significant impact on global trade flows.
He said: "The threat to meet any EU tariff retaliation with a further and equal percentage point increase in the US tariff highly provocative. Chances of wider EU-US economic conflict have risen."
The Trump administration has already started notifying countries of the US tariffs after the deadline of July 9 had passed.
Since "Liberation Day" at the beginning of April, Washington has been attempting to negotiate trade pacts with dozens of countries in an effort to lower economic barriers to US exports.
The UK is one of two countries to agree on a preliminary trade deal that removes some economic barriers between the two allies
PATrump declared a national trade deficit emergency, later announcing "reciprocal tariffs" on all countries not subject to other sanctions.
A baseline 10 per cent tariff on nearly all US imports took effect on April 5, including trade between America and Britain.
The UK is one of two countries to agree on a preliminary trade deal that removes some economic barriers between the two allies, with Starmer hoping the negotiations will shield British businesses from the impact of Trump's levies.
Brexiteers had hailed the discussions as a major victory for those advocating for Britain to leave the Brussels bloc in 2016.