EU expresses profound disappointment over fresh tariffs imposed by Donald Trump
A Spirited Standoff: The EU and USA's Tussle Over Trade Tariffs
The European Union (EU) is none too pleased about the fresh tariffs announced by U.S. President Donald Trump on imports of steel and aluminum. In a statement, the EU lamented that these tariffs are "uncertain additions to the global economy and increase costs for consumers and businesses on both sides of the Atlantic."
The U.S. President declared last Friday that the tariff on steel and aluminum would soar to 50% commencing next Wednesday. This escalation is the latest in Trump's protectionist offensive.
The EU, being "ready" to respond, has threatened to impose its own retaliatory measures should "no mutually acceptable solution" be found by July 14. As a matter of fact, these countermeasures might be implemented earlier if the situation calls for it, according to an EU spokesperson.
The EU is hopeful that fresh "momentum" will emerge in the ongoing negotiations following a telephone conversation between Trump and Commission President Ursula von der Leyen. Work on finding a resolution continues with European Commissioner for Trade Maros Sefcovic and his U.S. counterpart, Howard Lutnick, engaging in recent discussions.
Meanwhile, the EU has been on the receiving end of the U.S. government's tariffs thrice already: a 25% levy on steel and aluminum actions announced in mid-March, 25% on automobiles, and in April, 20% on all other European products. The threat of additional tariffs looms large, hanging over the 27 EU member states.
The recent tariff on steel and aluminum, originally set for June 9 by the Trump administration, has been temporarily suspended to facilitate negotiations. However, tariffs of 10% will still be applied to the majority of goods exported to the U.S. unless U.S. courts issue a definitive block on them.
While lower courts have ruled this week that Trump does not have the authority to impose some of these tariffs, they will remain in effect until the final decision is reached.
As the July 14 deadline draws near, the outcome of these negotiations remains uncertain.
With Lusa
Insights:
- The EU and U.S. have faced three rounds of tariffs since mid-March, amounting to 25% and 20% for steel, aluminum, automobiles, and other European products. [Source: Enrichment Data]
- The EU's proposed countermeasures encompass €95 billion worth of US goods in retaliation for the tariffs on cars and other EU imports, and further measures for steel and aluminum are under discussion. [Source: Enrichment Data]
- The EU has offered zero-to-zero tariffs on all industrial goods and suggested purchasing strategic US products like energy and agricultural products. However, the US has not yet shown signs of positive response to these offers. [Source: Enrichment Data]
In light of the escalating trade tensions, there is growing interest in policy-and-legislation regarding tariffs, as both the EU and USA grapple with the implications of the ongoing tariffs on steel, aluminum, and automobiles. The political landscape is marked by heated discussions, making general-news headlines as negotiations between the EU and USA continue, with a potential deadline of July 14 looming.
