Donald Trump has threatened European Union member states with punitive tariffs if they fail to purchase more American oil and gas, reviving the prospect of a renewed transatlantic trade war.
On Friday, the president-elect declared on social media: “I told the European Union that they must make up their tremendous deficit with the United States by the large scale purchase of our oil and gas. Otherwise, it is TARIFFS all the way!!!”
The warning comes as Mr Trump insists the EU reduce its trade surplus with the US, which stood at $131 billion (£105 billion) last year. He is expected to press for a more balanced trade relationship, wielding the threat of tariffs on European exports unless the EU buys more American goods and services.
The stance could pose a delicate challenge for Britain, with the incoming US ambassador Lord Mandelson likely to devote considerable diplomatic effort to staving off a full-blown trade conflict while trying to keep both the EU and the US in accord.
Mr Trump’s tough rhetoric recalls his previous presidency, when he imposed tariffs on EU steel and aluminium and threatened further duties on German car imports. That period sparked a flurry of transatlantic tensions, countermeasures by the EU on products like Harley-Davidson motorcycles and denim, and a temporary truce in 2018.
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