Source: BBC
The European Union has expressed deep concern over potential US trade measures, cautioning that any tariffs imposed on European goods would trigger a firm response. This comes after President Donald Trump expanded tariffs on major trade partners, including Canada, Mexico, and China.
Over the weekend, Trump announced sweeping tariffs targeting some of the United States' largest trading partners, escalating global trade tensions. Although the EU has so far been spared from these measures, the US president has repeatedly hinted at extending them to Europe, claiming that the trade relationship is imbalanced.
“They don’t take our cars, they don’t take our farm products, they take almost nothing, and we take everything from them,” Trump said, arguing that the US was at a disadvantage. While he did not provide a clear timeline, he suggested that action against the EU was being considered.
A spokesperson for the European Commission emphasized the strong trade ties between the US and the EU, describing them as the largest investment and trade partnership in the world. The official warned that broad tariff measures would lead to increased costs for businesses, harm workers and consumers, and contribute to inflation.
“At this moment, no new tariffs have been placed on EU products,” the Commission stated on Sunday. “However, if any trading partner imposes unfair or arbitrary tariffs on European goods, the EU will respond decisively.”
EU’s Strategy to Counter Trade Measures
European policymakers have been preparing contingency plans since last year in anticipation of potential trade conflicts with the US. Some strategies have focused on increasing imports of American goods, such as liquefied natural gas, to address Washington’s trade concerns. Additionally, several EU nations have committed to increasing their defense spending—an issue Trump has frequently raised regarding NATO contributions.
If diplomatic efforts fail, EU trade officials have developed a list of potential retaliatory tariffs on American products. While specific details remain undisclosed, the measures could include high duties on selected US imports.
With key positions in the US administration still undergoing confirmation, EU Trade Commissioner Maroš Šefčovič is prepared to engage in discussions once his American counterparts are in place, according to an EU official.
European Leaders Call for Unity
Klaas Knot, a member of the European Central Bank’s governing council, predicted that further US trade actions would escalate tensions and prompt countermeasures. Speaking to Dutch media, he emphasized that the EU would not back down, highlighting its position as a major economic force with a market of 400 million consumers.
French Prime Minister François Bayrou also urged EU nations to stand together in the face of possible US tariffs. “If we each prioritize only our own interests, we will weaken our collective position,” he told La Tribune. Bayrou pointed to key French industries, such as aerospace and nuclear energy, as areas where Europe holds strong leverage.
Legal Challenges to US Tariffs
Trump’s latest trade measures against Canada and Mexico were enacted under the International Emergency Economic Powers Act, which grants the president authority to address “unusual and extraordinary threats.” If he seeks to impose similar tariffs on the EU, he would need to justify them under national security grounds or another legal framework, as he did in his previous term.
As trade tensions rise, European leaders remain on alert, prepared to protect their economic interests should Washington move forward with tariffs.
