<h1>US threatens 50% tariffs on EU goods worth $2 trillion annually amid trade imbalance disputes</h1> The US threatens to impose tariffs up to 50% on European Union goods, potentially disrupting the world's largest trade relationship valued at $2 trillion annually. Current tariffs of 10% are set to expire, with the administration citing trade imbalances and regulatory barriers. The EU maintains a $233 billion trade surplus in goods but the US leads in services. Both sides face potential retaliation, with economists warning of higher consumer prices and GDP losses. Companies are considering production shifts to avoid tariffs. Negotiations continue with expectations of a framework deal maintaining base tariffs while addressing specific trade issues.