EU Trade Conflict: Expert Advocates for Tougher EU Actions Against Trump's Policies
The European Union (EU) is taking a firm yet diplomatic approach in response to the US's announcement of 30% tariffs on EU goods, effective August 1, 2025. The strategy, led by European Commission President Ursula von der Leyen, focuses on dialogue and preparedness for retaliation.
At the heart of the EU's approach is a strong commitment to a negotiated solution with the US. The EU aims to use the time before August 1st to seek a trade deal and avoid escalation. In a bid to encourage talks and reach an agreement, the EU has suspended planned retaliatory tariffs on US goods that were set to take effect imminently. This suspension is temporary and extends until early August as negotiations continue.
While suspending countermeasures for now, the EU is preparing further countermeasures and remains ready to impose them if the US proceeds with the tariff hike. This signals a firm stance underlying the preference for dialogue.
European leaders, including Germany’s Chancellor Olaf Scholz and Ireland’s Taoiseach Micheal Martin, are advocating calm and caution. They stress that tariffs are a setback and unsustainable long-term, and the EU prefers constructive partnership but is ready to defend its interests.
Jürgen Matthes, a trade expert from the Cologne Institute of the German Economy (IW), has called on the EU to take a tougher stance in the tariff dispute with the US and President Donald Trump. Matthes believes that the US's negotiating position is weaker than Trump's actions suggest and that passing an automatic package for counter-tariffs would set boundaries for Trump.
Marie-Christine Ostermann, president of the Association of Family Entrepreneurs, stated that Europe has a strong hand in the tariff dispute because its member states have not been divided. She suggested that the EU can and must now show its opposition to a global tariff bidding war, together with other economic regions of the world.
The German government supports a tougher stance by the EU in the tariff dispute with the US. Stefan Kornelius, spokesperson for Friedrich Merz (CDU), stated that the German Chancellor is working to prevent tariffs at the threatened level.
Ursula von der Leyen responded that the EU is ready to work towards an agreement by August 1st, keeping counter-tariffs suspended. She emphasized that the EU's preference is for a negotiated solution but that it is ready to defend its interests if necessary.
In summary, the EU is pursuing a dual strategy of diplomatic engagement combined with credible preparation for countermeasures to protect its trade interests amid the US tariff threat. The EU's approach underscores its commitment to dialogue and a negotiated solution, while also demonstrating its readiness to impose countermeasures if necessary.
- Amid the ongoing US tariff threat, the EU's community policy and political strategy revolve around simultaneous dialogue and policy-and-legislation preparations for retaliation, underscoring their commitment to a negotiated solution in war-and-conflicts and general-news domains.
- European leaders, such as Germany’s Chancellor Olaf Scholz and Ireland’s Taoiseach Micheal Martin, advocate for calm and caution, stressing that while the EU prefers constructive partnership, it is ready to defend its interests, particularly in areas of employment policy and trade policy, and oppose any global tariff bidding war.
