Elon Musk Advocates for US-EU Free Trade Zone Without Tariffs

In a surprise virtual appearance at the Federal Congress of Italy’s League party in Florence, tech billionaire Elon Musk made a bold call for the establishment of a tariff-free trade zone between the United States and the European Union.

Musk’s comments came just days after President Donald Trump announced a new 20% tariff on EU imports entering the American market—part of a broader wave of protectionist trade measures targeting multiple countries.

“I ultimately believe both the U.S. and Europe should move towards a zero-tariff framework,” Musk stated. “It would benefit both economies and effectively create a transatlantic free trade area.”

His remarks appear to signal a divergence in views from the President, despite Musk’s position as a senior adviser to Trump since January and his notable financial backing during previous campaign efforts.

The European Union, while expressing a preference for diplomatic negotiation, has made it clear it is ready to retaliate with countermeasures. These may include targeted tariffs on American goods, taxes on digital services, and regulatory pressure on U.S. tech giants operating within the bloc.

Meanwhile, League party leader Matteo Salvini has shown growing interest in strengthening ties with Musk. Reports suggest Musk may be considering stepping away from his advisory role in the U.S. government to refocus on his various business ventures, including Tesla, SpaceX, and X (formerly Twitter).

The developments come amid rising global trade tensions and could have significant implications for international commerce, tech regulation, and the future of transatlantic economic cooperation.

(Sources: investing.com, reuters.com)