EU announced countermeasures in response to “destructive US tariffs”

The European Commission has imposed a series of proportionate countermeasures on US imports into the EU this morning, targeting a range of American products, from boats to bourbon and Harley-Davidson motorcycles, Euronews reports.

The move comes in response to tariffs imposed by Washington, which the EU says are unjustified and disruptive, and which came into effect at midnight.

“Tariffs are taxes. They are bad for business and even worse for consumers. These tariffs disrupt supply chains. They bring uncertainty to the economy,” said European Commission President Ursula von der Leyen.

She added that jobs were at stake and prices would rise – in Europe and the United States.

A month ago, US President Donald Trump signed an executive order imposing 25% tariffs on steel, aluminium and related products, affecting around €26 billion in EU exports. The EU condemned the move, saying it would respond without hesitation if the US went ahead with the new tariffs. The eurozone, including Germany, is a major steel exporter to the US. During Trump’s first term, the EU responded to similar tariffs with €2.8 billion in tariffs on US goods.

Two-phase response

The EU’s countermeasures will be implemented in two phases. On 1 April, the EU will allow existing countermeasures against the US from 2018 and 2020 to expire. The measures targeted a range of US products, from boats and bourbon to Harley-Davidson motorcycles, covering an estimated €8 billion in economic damage.

The EU will introduce a new round of countermeasures in response to the US tariffs by mid-April. This will affect up to €18 billion worth of US exports, bringing the total EU response to €26 billion, in line with the scale of the US tariffs.

The proposed target products for this second phase include industrial products such as steel and aluminium, textiles, leather goods, household appliances, household tools, plastics and wood products, as well as agricultural products such as poultry, beef, certain seafood, nuts, eggs, dairy products, sugar and vegetables.

In the meantime, a two-week consultation with stakeholders will continue until 26 March, allowing industry and trade representatives to submit their suggestions on the proposed new countermeasures. The final legislative act implementing the tariffs is expected to be adopted by mid-April, subject to approval by EU countries.

Tags: EU, USA