European officials are warning that President Trump’s proposed 30% tariff on EU imports could effectively eliminate trade between the two powers. In a statement Monday, the European Commission said the measures — set to take effect August 1- are “absolutely unacceptable” and risk sparking major retaliation, with up to $84 billion in U.S. exports at risk.

The news comes as both sides attempt last-minute negotiations to avoid economic fallout across key industries, from autos to agriculture.

Our Cato trade team is available for comment. Feel free to reach out to Emily Salamon at esalamon@​cato.​org.