Trump’s “Liberation Day”: Global agri-food braces for historic disruptions as leaders prepare tariff responses

US President Donald Trump has announced the details of his highly anticipated tariff measures against other countries. All world nations will be subject to a baseline 10% tariff on all exports to the US and a list of reciprocal tariffs against 60 of the “worst offender” countries that currently levy US imports. 

Central examples include tariffs against all imports from China (54%), EU (20%), Vietnam (46%), Thailand (36%), Japan (24%), Cambodia (49%), South Africa (30%), and Taiwan (32%). 

According to calculations by the White House, each rate is set at roughly half of what the corresponding nation or bloc currently tariffs the US. The measures are expected to spark negotiations with world leaders, though some — like the EU and China — have pledged to retaliate. 

Top of Trump’s targets were agri-food imports. “We’re standing up for our great farmers and ranchers who have been brutalized all over the world,” he announced before claiming that Canada imposes a 250–300% tariff on US dairy products. However, these rates have never been applied, and Canadian dairy imports usually enter tariff-free. 

The President also mentioned EU bans on US poultry products, Australian restrictions on US beef, and Chinese levies on rice as other examples of trade imbalances that he believes the new tariffs will help equalize. 

Global trade war?

Foreign leaders, notably in the EU and China, have vowed to respond. EU President Ursula von der Leyen said the global economy will “massively suffer” and that the EU is “prepared to respond.”

“I deeply regret this choice,” Von der Leyen says. “There seems to be no order in the disorder. No clear path through the complexity and chaos that is being created as all US trading partners are hit.”

“We are now preparing for further countermeasures to protect our interests and our businesses if negotiations fail.” However, she asserted that it is “not too late” to resolve the problems through talks. 

Similarly, the Chinese government called on Trump to cancel the tariff measures immediately, saying they “endangered global economic development.” It pledged counter-tariffs if restrictions were not lifted. “There is no winner in a trade war, and there is no way out for protectionism,” the government announced. 

In the UK, a more measured response was given as the rates imposed were minimal, but discussions over what will be put on the negotiating table going forward are ongoing. Recently, Reform Party Leader Nigel Farage came under fire for suggesting chlorinated chicken imports could be allowed back into the UK.

Alcohol and dairy hits

The EU’s Comité Européen des Entreprises Vins (CEEV), which represents European winemakers, condemned the 20% tariff that will now be enforced on all exports to the US. 

In 2024, the US was the largest export market for EU wines, worth €4.88 billion (US$5.2 billion). Exports to the US accounted for 28% of the EU's total wine export value.

“The announced reciprocal tariffs on EU wines will hardly damage EU wine companies and would create economic uncertainty and result in layoffs, deferred investments, and price increases. Targeting EU wine will only make losers on both sides of the Atlantic,” says Marzia Varvaglione, CEEV president.

“The US wine market is fundamental for the economic sustainability of the EU wine sector. There is no alternative wine market that could compensate for the loss of the US market,” she adds.

Similarly, Alexander Anton, secretary general of the European Dairy Association says the “move is unjustified.” 

“EU dairy exports — most notably cheese — account for less than 2% of total US domestic consumption. These cheeses serve a very unique market segment in the US, offering choice and excellence to the US consumers, and therefore do not compete directly with American dairy products.”

“With premium European cheeses, creams, and specialty products appreciated by US buyers, the tariffs could significantly restrict choice and drive up prices in the American market.”

“Our sector is already under enormous pressure from China’s anti-subsidy investigation and ongoing global market challenges. Now, US tariffs risk compounding that crisis. This is a blow to rural economies across Europe — and to the spirit of fair and rules-based trade.”