SEPA is for only EUR transfers. Sending EUR via SEPA to non EUR accounts, will have higher fees than EUR to EUR account and have the risk of not being accepted in a foreign currency account.
For non-EUR accounts, the SWIFT transfers are used, but more expensive and could take more time to arrive.
My 2 cents, it seems that the destination bank (Barclays/T212) rejected the EUR transfer into an USD account (perhaps added by the relation of EUR bank to a UK bank). The destination bank if had received it, it would have convert EUR into USD, and charge the FX fees.
How much are the FX fees the T212’s Barclays account charge when sending money to it?