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EU will respond "harshly" to US reciprocal tariff hikes

Politiko 2025-02-14 14:16:29

EU will respond "harshly" to US reciprocal tariff hikes

The European Commission said on Friday that it considers United States President Donald Trump's proposal for reciprocal trade to be unreasonable and stressed that it will react "strongly and immediately" if there is an increase in tariffs.

The Commission, which coordinates trade policy for the 27 member states of the European Union, described Trump's proposal as a step in the wrong direction.

"The EU's tariffs are among the lowest in the world and it sees no reason for increasing US tariffs on its exports," the European Commission said in a statement.

The EU's executive branch said that the average tariff applied by the European Union on imported goods is among the lowest globally, and that over 70 percent of imports enter the bloc's countries duty-free.

A White House statement on Thursday highlighted the difference between the EU's tariffs on car imports, which are 10 percent, compared to the 2.5 percent tariff on those entering the United States, as well as the EU's restrictions on seafood imports from the United States.

"The EU will react firmly and promptly against unreasonable obstacles to free and fair trade, including when tariffs are used to challenge legitimate and non-discriminatory policies," the statement said.

This statement reflects the pledge of European Commission President Ursula von der Leyen, who said on Tuesday that "proportionate countermeasures" would be imposed to Trump's decision to impose tariffs on all steel and aluminum imports.

EU trade ministers took a softer stance on Wednesday, speaking of negotiations rather than retaliatory measures, mindful that US tariffs on steel and aluminium will take effect on March 12.

"There is room for negotiations," Irish Foreign Minister Simon Harris said in a statement.

Trump's order on Thursday was not to impose new tariffs immediately, but to begin reviewing tariffs imposed on American goods by other trading partners before deciding whether to respond. That could take weeks or months.

Three EU diplomats said it makes sense to use this time for negotiations, while preparations continue for a strong response if the US imposes tariffs./ REL

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