Trump's month back in the White House has been marked by soaring friction between Washington and its European allies, with the United States abruptly shifting gears on support for Ukraine and Germany's likely next leader urging Europe to seek take greater control of its own defense.
"Look, let's be honest, the European Union was formed in order to screw the United States," Trump told reporters as he gathered his cabinet for the first time.
"That's the purpose of it, and they've done a good job of it. But now I'm president," Trump said.
The European Commission shot back that the European Union is "the world's largest free market" and has been "a boon for the United States".
Former Swedish prime minister Carl Bildt, writing on X, said Trump had a "seriously distorted view of history" as the EU was "actually set up to prevent war on the European continent".
The United States for decades cheered on European integration, seeing the EU's formation in 1993 as a historic achievement to end conflict on a continent ravaged by two world wars.
Trump by contrast applauded Britain when it left the single European  market, and has vowed an "America First" policy of pursuing self-interest above any abstract concepts of partnership.
Trump said at his cabinet meeting that the European Union has "really taken advantage of us".
The United States had a trade deficit to the 27-nation bloc of $235.6 billion last year, according to official US figures.
Asked if he had made a decision on tariff levels for the European Union, Trump added: "We'll be announcing it very soon and it'll be 25 percent, generally speaking."
He said that cars would be among the products to be hit – grim news for Germany whose export-driven economy has been in a slump.
The European Commission warned it would respond "firmly and immediately" to new tariffs.
Trump has also slapped tariffs on US neighbors Canada and Mexico as well as rival China, citing issues including illegal immigration and fentanyl smuggling.
EU meeting scrapped
Trump, who has made the deportation of undocumented immigrants a top priority, acknowledged his origins in Europe, saying wryly: "I guess I'm from there at some point a long time ago, right?"
But whatever the common heritage, tensions have risen sharply with the European Union on a series of issues starting with Ukraine.
EU foreign policy chief Kaja Kallas was visiting Washington on Wednesday and had earlier announced that she would meet Secretary of State Marco Rubio.
The meeting was canceled, with a European Union spokesman citing "scheduling issues." Trump, however, saw French President Emmanuel Macron on Monday and meets British Prime Minister Keir Starmer on Thursday.
On Monday, the United States sided with Russia and against nearly all European allies at the United Nations in backing a resolution that called for a swift end to the war without insisting on Ukraine's territorial integrity.
Trump insisted on Wednesday it was up to Europe, not the United States, to provide security guarantees to Ukraine, even as President Volodymyr Zelensky prepared to fly to Washington to sign an agreement giving US control of much of his country's mineral wealth.
The winner of Germany's election on Sunday, Friedrich Merz, is a longstanding supporter of the transatlantic alliance but has warned not to be under illusions about Trump.
Merz said that Europe must move quickly to "achieve independence" from the United States on defense matters.
Rubio, in an interview broadcast Wednesday with Fox News, said that the Nato alliance was "not in jeopardy" but that Europe needed to spend more on its own defense.
"We're not saying do your own thing. We're saying do more. It's their continent, right?" he said.
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