EU promises to respond strongly to possible US tariff hike

The European Commission (EC) has said it sees no justification for the proposed policy of ‘reciprocal’ trade tariffs to be introduced by US President Donald Trump and promises to respond strongly to tariff increases resulting from this policy. The European Commission said in a statement that the proposed policy is a ‘step in the wrong direction,’ Reuters reported.

The Commission, which coordinates trade policy for the 27 EU countries, stressed that the European Union has some of the lowest tariffs in the world and there is no reason to increase tariffs on EU exports to the United States. According to her, more than 70% of imported goods enter the EU without customs duties.

At the same time, a White House fact sheet released on Thursday highlights the difference in tariffs on car imports: 10% in the EU versus 2.5% in the US, etc. In response, the European Commission said that the EU will respond ‘decisively and immediately’ to unjustified barriers to free and fair trade, including the use of tariffs to challenge legitimate and non-discriminatory policies.

These statements reflect the position of European Commission President Ursula von der Leyen, who on Tuesday promised ‘strong and proportionate countermeasures’ in response to Trump’s decision to impose tariffs on all steel and aluminium. At the same time, on Wednesday, European trade ministers took a softer line, prioritising negotiations over retaliation, acknowledging that the US steel and aluminium tariffs will only come into effect on 12 March 2025.

Irish Foreign Minister Simon Harris noted that ‘there is time for negotiations’. Trump on Thursday also did not impose new duties, but only initiated an investigation into duties on goods from other countries, which could take several weeks or months before determining a response. Three EU diplomats said that this time should be used for negotiations, while preparing a strong response to possible US tariffs.

As GMK Center reported earlier, US President Donald Trump has ordered a 25 per cent duty on all imports of steel and aluminium into the country, with no exemptions or exemptions. The new duties will come into effect on 12 March this year.