The EU's proposed tariffs will target a variety of U.S. products, with hopes for future negotiations still in play.
European Union Prepares to Enact Retaliatory Tariffs Against U.S. Policies
European Union Prepares to Enact Retaliatory Tariffs Against U.S. Policies
Retaliation measures against President Trump’s tariffs on aluminum and steel could lead to economic tensions.
April 9, 2025, 5:10 a.m. ET
In a significant development, the European Union is set to conduct a crucial vote today to approve initial retaliatory tariffs in response to President Trump's levies on steel and aluminum. These tariffs, aimed at a varied selection of manufactured goods and agricultural products, are expected to be rolled out in phases starting next week.
The official list of products has been refined from a broader proposal made in mid-March, carefully crafted to minimize negative impacts on European industries. Notably, bourbon has been omitted to avoid severe repercussions for wine producers in France, Italy, and Spain, following Trump's threat to impose a staggering 200 percent tariff on all European alcohol.
Maros Sefcovic, the EU's trade commissioner, emphasized that the approach is not about engaging in a “cent for cent” retaliation strategy. Since the U.S. implemented a 25 percent tariff on steel, aluminum, and vehicles, alongside a 20 percent tariff on all other goods from Europe effective Wednesday, EU officials have openly expressed a desire to negotiate removal of these tariffs and have even proposed cutting their own tariffs to zero on automobiles and industrial products, contingent on corresponding actions from the U.S.
As negotiations remain slow, the EU is poised to enact this initial wave of retaliatory tariffs, signalling a potentially escalating trade conflict if a resolution is not reached soon.
In a significant development, the European Union is set to conduct a crucial vote today to approve initial retaliatory tariffs in response to President Trump's levies on steel and aluminum. These tariffs, aimed at a varied selection of manufactured goods and agricultural products, are expected to be rolled out in phases starting next week.
The official list of products has been refined from a broader proposal made in mid-March, carefully crafted to minimize negative impacts on European industries. Notably, bourbon has been omitted to avoid severe repercussions for wine producers in France, Italy, and Spain, following Trump's threat to impose a staggering 200 percent tariff on all European alcohol.
Maros Sefcovic, the EU's trade commissioner, emphasized that the approach is not about engaging in a “cent for cent” retaliation strategy. Since the U.S. implemented a 25 percent tariff on steel, aluminum, and vehicles, alongside a 20 percent tariff on all other goods from Europe effective Wednesday, EU officials have openly expressed a desire to negotiate removal of these tariffs and have even proposed cutting their own tariffs to zero on automobiles and industrial products, contingent on corresponding actions from the U.S.
As negotiations remain slow, the EU is poised to enact this initial wave of retaliatory tariffs, signalling a potentially escalating trade conflict if a resolution is not reached soon.
