President Trump posted on his social media platform Truth Social, criticizing the lack of progress in trade negotiations with the European Union and suggesting a 50% tariff on EU goods starting June 1. He also warned Apple that iPhones sold in the U.S. that are not manufactured domestically would face a 25% tariff.

This announcement triggered a market reaction, with Taiwan futures plunging over 400 points. Trump stated that the U.S. trade deficit with the EU exceeds $250 billion annually, which he deemed unacceptable, expressing frustration over the stalled trade negotiations. German and French stocks also saw significant declines.

According to reports from AFP, as of 12:08 PM GMT, France's CAC 40 index fell by 2.8%, while Germany's DAX index dropped by 2.5%. The four major U.S. stock index futures also declined sharply, with Dow futures down over 600 points and Nasdaq futures dropping more than 2%. By 8:30 PM, Taiwan futures were down by over 320 points, briefly hitting 21,082 points.

Earlier, Trump also stated on his platform that he expected iPhones sold in the U.S. to be manufactured in the U.S., not in India or elsewhere. He noted that over 60 million units are sold in the U.S. each year, while the U.S. does not manufacture smartphones.