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European Union

US Revised Tariffs (%)

15

Ease of doing business

theboardiQ Tariffs Dashboard:

Powering Mutually Beneficial Global Trade.

 

Understand the complexities of international tariffs and ease of doing business across nations to cultivate balanced trade relationships, streamline operations, and deliver cost savings to end consumers.

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Revised Tariff %
Original Tariff %
Country Tariff Rate %
Share of US Imports % (1 implies <1%)
15
30
25
18.5
Exports (in USD Bill.) 2024
Imports (in USD Bill.) 2024
Balance (in USD Bill.) 2024
370.19
605.76
-235.57

Implications

As of late January 2026, trade relations between the U.S. and the European Union are in a state of high volatility. Following the implementation of "Trump 2.0" trade policies, a new wave of tariffs has been announced, primarily driven by disputes over the proposed U.S. purchase of Greenland and digital service regulations.


Latest US Tariffs Update (January 2026)


  • Greenland Tariffs: A new 10% tariff on "any and all goods" from eight European countries (Denmark, Norway, Sweden, France, Germany, the UK, the Netherlands, and Finland) is set to begin on February 1, 2026.

  • Escalation Clause: If no agreement is reached, these tariffs are scheduled to rise to 25% on June 1, 2026.

  • Section 232 Actions: New "National Security" investigations are targeting pharmaceuticals, semiconductors, commercial aircraft, and critical minerals.

  • Legacy Metals: Tariffs on EU steel and aluminum remain at elevated levels (50% for many origins) as the U.S. pressures the EU to roll back its Digital Markets Act (DMA).


Major Companies Impacted


The following sectors and companies are currently facing the highest exposure:

Sector

Key Companies Impacted

Nature of Impact

Automotive

Volkswagen, BMW, Mercedes-Benz, Stellantis

Face a 25% "headline" tariff rate; supply chains disrupted by steel/aluminum duties.

Luxury Goods

LVMH, Kering, Hermes

Targeted by reciprocal tariffs on high-end leather goods and apparel.

Aviation

Airbus, Safran, Rolls-Royce

Impacted by Section 232 investigations into jet engines and parts.

Spirits/Wine

Diageo, Pernod Ricard

Significant impact on Scotch whisky and French wine due to Greenland-related disputes.

Tech (US)

Apple, Google, Meta, Amazon

At risk of EU "Trade Bazooka" retaliation (digital taxes/regulatory fines).

Economic & GDP Impact


Estimates from the Yale Budget Lab and the Tax Foundation (Jan 2026) indicate:

  • US GDP: Projected to slow by 0.4 to 0.5 percentage points in 2026. Long-run GDP is expected to be 0.3% smaller due to higher input costs.

  • EU GDP: Moderately negative impact (approx. -0.2% to -0.4%) driven by weaker exports to the U.S.

  • Inflation: Consumer prices in the U.S. are estimated to rise by 1.3% in the short run, costing the average household roughly $1,751 annually.


Latest Country Balance of Trade (BOT) YTD


As of Jan 2026 reporting for Q3/Q4 2025 data:


  • US-EU Trade Deficit: The U.S. deficit with the EU narrowed significantly in late 2025, dropping to $9.7 billion in Q3 2025 (down from $81 billion in Q1 2025).

  • Primary Drivers: A massive surge in EU exports occurred in Q1 2025 as companies "front-loaded" inventory to beat tariff deadlines, followed by a sharp decline in Q2 and Q3.

  • Germany: Remains the largest source of the U.S. trade deficit in Europe, with a monthly deficit of $5.1 billion as of October 2025.


SWOT Analysis: US-EU Trade Relations 2026

Strengths

Weaknesses

* Strong bilateral investment ($5T+ in assets).


* Shared reliance on high-tech and defense sectors.


* High consumer demand in both markets.

* Fragmented EU response (member states vs. Commission).


* Reliance on executive orders (IEEPA) creates legal uncertainty.


* High "tariff shadow inflation" in manufacturing.

Opportunities

Threats

* EU-India Free Trade Agreement (signed Jan 2026) reduces reliance on U.S.


* "Zero-for-zero" potential deals in industrial goods.


* Joint standards on AI and critical minerals.

* EU "Trade Bazooka": Retaliatory tariffs on €93B+ of U.S. goods.


* Diversification of EU exports toward Mercosur and India.


* Supreme Court rulings potentially striking down U.S. tariff authority.


US Revised Tariffs

Country Tariffs

Balance of Trade

Commercial Guide

Learn about the market conditions, opportunities, regulations, and business conditions in countries, prepared by U.S. Embassies worldwide, Commerce Department, State Department and other U.S. agencies’ professionals

Tariff Rate for US

World Bank staff estimates using the World Integrated Trade Solution system, based on tariff data from the United Nations Conference on Trade and Development's Trade Analysis and Information System ( TRAINS ) database and global imports data from the United Nations Statistics Division's Comtrade database.

Tariff rate, applied, weighted mean, all products (%)

US Imports Guide 

United States Imports from Countries during 2024, according to the United Nations COMTRADE database on international trade. United States Imports from Countries- data, historical chart and statistics - was last updated on April of 2025.

Trading Economics - Imports

Investing in USA

theboardiQ Economic Relevance Score, ranks States of USA based on 11 parameters

Sources : ForbesUSDA Economic Research | TCGen Total Innovation Rank Index | Best States for Manufacturing | World Population Review | Tax Foundation | US News | BEA Data | Wikipedia International Trade Administration

theboardiQ's Economic Relevance Score provides a comprehensive, data-driven assessment of a nation's economic vitality and global significance. This score is meticulously calculated using 11 key parameters, each reflecting a critical facet of economic performance. It analyzes the representation of Fortune 500 companies within a nation, a strong indicator of its business environment and market size. The balance of trade surplus or deficit reveals the nation's international competitiveness and export strength. It incorporates Gross Domestic Product (GDP), a fundamental measure of overall economic output, and examine the health of key sectors like agriculture and manufacturing. The score also accounts for innovation, gauging a nation's ability to drive future growth through technological advancements. Crucial labor market indicators such as employment rates are considered, alongside fiscal policies reflected in tax rates. To capture the lived experience of citizens, it assesses cost of living and disposable income, providing insight into purchasing power and economic well-being. Finally, education levels are integrated, recognizing their pivotal role in fostering a skilled workforce and driving long-term economic development. By synthesizing these 11 parameters, theboardiQ's Economic Relevance Score delivers a nuanced and holistic view of a nation's economic standing, enabling informed strategic decisions. The Top 5 States in the assessment are Texas, North Carolina, Virginia, Florida and Washington. Texas does consistently well across most of the 11 variables especially in the areas of GDP, F500 representation in the State, Balance of Trade where it ranks 2nd nationally. North Carolina scores as the highest-ranking state nationally in manufacturing and performs consistently across the other variables. Virginia does well in disposable income where it ranks 3rd nationally. It also scores high in the variables of manufacturing and employment Florida holds the 4th ranking nationally for GDP and Tax Washington State scores the top spot for disposable income nationally, 2nd for education and 3rd for innovation. Colorado, with an overall rank of 7 scores the top spot for Education (schools and higher education). Nebraska, that ranked 10th overall, did well in Agriculture where it is ranked 3rd nationally as well as Trade Balance where it ranked 5th. Illinois, though ranked 20th overall did well nationally in F500 representation, GDP, Agriculture, and Disposable Income. Pennsylvania comes in at 21 overall doing well nationally in GDP (6th); Manufacturing (8th) and F500 representation (8th) New York scores 23rd overall with a 2 ranking in Disposable Income nationally, as well as 3rd in both F500 representation and GDP. California comes in at 29th overall and has the top spot ranking in a whopping 4 variables nationally – GDP, Innovation, Agriculture and F500 representation. However, performance in the areas of Trade Balance, Cost of Living, Tax, Manufacturing and Employment resulted in the overall ranking dipping. Wyoming at 30th overall scores the top spot nationally in the area of Tax Massachusetts at 31 overall does well in innovation where it is ranked 2nd nationally Arkansas at 36 and Alabama at 39, do well in overall Cost of Living where they are ranked 2nd and 3rd nationally, respectively. Louisiana ranked 44th overall is ranked 1st in Trade Balance nationally.

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