Trump’s Treasury chief on 200% EU tariff threat: ‘Not sure why that’s a big deal’ for markets

Trump’s Treasury chief on 200% EU tariff threat: ‘Not sure why that’s a big deal’ for markets


Treasury Sec. Bessent on 200% EU alcohol tariff threat: 'Not sure why that's a big deal' for markets

U.S. Treasury Secretary Scott Bessent on Thursday said Wall Street should shrug off President Donald Trump’s latest threat to impose steep tariffs on foreign trading partners.

Asked on CNBC’s “Squawk on the Street” about Trump’s threat to ratchet up tariffs on European alcohol, Bessent suggested the move should have little impact on stocks.

“One or two items with one trading bloc, I’m not sure why that’s a big deal for the markets,” said Bessent.

Earlier in the day, Trump had warned the European Union that he would slap 200% tariffs on European alcohol exports — including all wines and French Champagnes — unless the bloc dropped its own proposed duties on American whiskeys.

Trump called the EU “one of the most hostile and abusive taxing and tariffing authorities in the World, which was formed for the sole purpose of taking advantage of the United States” in a Truth Social post threatening the 200% tariff.

Read more CNBC politics coverage

On Wednesday, the EU unveiled a new plan to impose a 50% tariff on U.S. whiskey, beginning on April 1. The liquor tariff is part of a broader set of proposed import duties on American products.

The European tariffs were issued in retaliation for Trump’s 25% tariffs on all U.S. imports of steel and aluminum, which took effect Wednesday.

Bessent did not answer a question about whether Trump’s Thursday announcement was “premeditated,” or whether the Cabinet secretary was told about it in advance.

Major stock indexes continued to slide Thursday morning, deepening a weekslong sell-off fueled at least in part by fears and uncertainty surrounding Trump’s tariff-heavy economic agenda.

Don’t miss these insights from CNBC PRO



Source

U.S. air traffic control staffing hit for second day, delaying flights
Politics

U.S. air traffic control staffing hit for second day, delaying flights

A plane takes off from Hollywood Burbank Airport as operations resume a day after the airport operated for hours without a staffed control tower due to staffing shortages amid the U.S. government shutdown in Burbank, California, U.S., October 7, 2025. Daniel Cole | Reuters Air traffic control staffing issues are delaying flights for a second […]

Read More
Trump suggests not all furloughed workers will get back pay: ‘It depends’
Politics

Trump suggests not all furloughed workers will get back pay: ‘It depends’

U.S. President Donald Trump speaks as he and Canada’s Prime Minister Mark Carney (not pictured) meet in the Oval Office at the White House in Washington, D.C., U.S., Oct. 7, 2025. Evelyn Hockstein | Reuters President Donald Trump suggested Tuesday that some federal workers who have been furloughed during the government shutdown will not receive […]

Read More
Republicans face pressure to consider Democrats’ health care demands as shutdown drags on
Politics

Republicans face pressure to consider Democrats’ health care demands as shutdown drags on

U.S. Senator Susan Collins (R-ME) speaks with Senator Lisa Murkowski (R-AK), as Lori Chavez-DeRemer, U.S. President Trump’s nominee to be secretary of labor testifies before a Senate Health, Education, Labor, and Pensions (HELP) Committee confirmation hearing on Capitol Hill in Washington, D.C., U.S., February 19, 2025. Kent Nishimura | Reuters Sen. Susan Collins is reportedly […]

Read More