The European Union (EU) retaliated swiftly with a two-step approach in response to President Trump’s fresh 25 percent tariffs on steel and aluminum that took effect Wednesday.
First, the European trading bloc — made up of 27 nations — will allow the suspension of the existing 2018 and 2020 countermeasures against the U.S. to expire on April 1. Second, the commission is proposing a new package of countermeasures on goods coming from the U.S. that will go into effect in mid-April, covering some $28 billion in imports in total.
President of the European Commission Ursula von der Leyen said Europe “deeply” regrets Trump’s additional tariffs on steel and aluminum.
“Tariffs are taxes. They are bad for business, and even worse for consumers,” von der Leyen said Wednesday in a statement. “These tariffs are disrupting supply chains. They bring uncertainty for the economy. Jobs are at stake. Prices will go up. In Europe and in the United States.”
“The European Union must act to protect consumers and business,” she continued. “The countermeasures we take today are strong but proportionate.”
After announcing the response, the EU released a 99-page list of possible items that could be subject to tariffs, including fruit and vegetables, meat, alcoholic beverages, nicotine vapes and chewing gum.
The sale of motorcycles, outerwear, household appliances, workshop tools and snowplows could also be affected.
“We firmly believe that in a world fraught with geopolitical and economic uncertainties, it is not in our common interest to burden our economies with tariffs. We are ready to engage in meaningful dialogue,” von der Leyen said, adding that she tapped Trade Commissioner Maroš Šefčovič to continue dialogue to “explore better solutions with the U.S.”
Trump has argued that additional tariffs on imports would help bring back manufacturing jobs to the U.S. and has long contended that Washington’s trade deals with the EU have been “unfair.” The president’s 25 percent tariff on aluminum represents a 15-point increase from the previous 10 percent levied on imports of the metal.
The president has also proposed separate tariffs on its two neighbors, and largest trading partners, Canada and Mexico, along with an additional 10 percent tax on Chinese goods. Trump on Tuesday said his administration would also increase planned steel and aluminum tariffs against Canada in response to an electricity surcharge the Ontario government imposed in the latest escalation of a growing trade war.
The EU is set to brief the 27 member states on the details of its response later Wednesday.
