BRUSSELS: European Union international locations will search to current a united entrance within the coming days towards US President Donald Trump’s tariffs, seemingly approving a primary set of focused countermeasures on as much as US$28 billion of US imports from dental floss to diamonds.
Such a transfer would imply the EU becoming a member of China and Canada in imposing retaliatory tariffs on the US in an early escalation of what some concern will develop into a worldwide commerce warfare, making items costlier for billions of shoppers and pushing economies world wide into recession.
The 27-nation bloc faces 25 p.c import tariffs on metal and aluminium and vehicles and “reciprocal” tariffs of 20 p.c from Wednesday (Apr 9) for nearly all different items.
Trump’s tariffs cowl some 70 p.c of the EU’s exports to the US, price in complete US$585 billion final yr, with seemingly duties on copper, prescribed drugs, semiconductors and timber nonetheless to return.
The European Fee, which coordinates EU commerce coverage, will suggest to members late on Monday an inventory of US merchandise to hit with further duties in response to Trump’s metal and aluminium tariffs fairly than the broader reciprocal levies.
It’s set to incorporate US meat, cereals, wine, wooden and clothes in addition to chewing gum, dental floss, vacuum cleaners and bathroom paper.
One product that has obtained extra consideration and uncovered discord within the bloc is bourbon. The Fee has earmarked a 50 p.c tariff, prompting Trump to threaten a 200 p.c counter-tariff on EU alcoholic drinks if the bloc goes forward.
Wine exporters France and Italy have each expressed concern. The EU, whose financial system is closely reliant on free commerce, is eager to ensure it has extensive backing for any response in order to maintain the strain up on Trump in the end to enter negotiations.
