EU Announces 72 Billion Euro Retaliatory Tariffs on U.S. Imports

The European Union has announced retaliatory measures worth 72 billion euros against U.S. imports, targeting a wide range of goods including automobiles, Boeing aircraft, and bourbon. This move comes amid escalating global trade tensions and is a response to President Donald Trump’s 20% reciprocal tariffs issued in April. The U.S. had imposed these tariffs on most EU goods and added a 25% tariff on automobiles and auto parts, later settling on a baseline 10% rate to facilitate global trade negotiations.

The EU’s 206-page list, released by the European Commission, details countermeasures against machinery products, plastics, chemicals, electrical equipment, medical devices, agricultural goods, and wine. Notably, the list does not include specific tariff rates for the targeted goods. The bloc’s actions are seen as a direct response to Trump’s threat to raise tariffs to 30% if no trade deal is reached by August 1. The EU has been preparing for this deadline, with Danish Foreign Minister Lars Lokke Rasmussen describing Trump’s tariff threat as unacceptable and warning of countermeasures if negotiations fail.

The EU initially targeted U.S. goods worth 95 billion euros but scaled back the list after consultations with member countries and firms. The bloc had previously issued countermeasures worth 21 billion euros on U.S. imports, which were later extended to address Trump’s additional tariffs on steel and aluminum. Italy’s Foreign Minister Antonio Tajani indicated that the EU was prepared with roughly 24.5 billion euros worth of countermeasures against U.S. goods if negotiations faltered.

The EU’s planned tariffs include over 65 billion euros on industrial goods, with significant portions targeting aircraft, machinery, and cars. Agricultural products, including fruits, vegetables, and alcoholic beverages, are also in the crosshairs, with specific targets on toys, musical instruments, and sports guns. The EU’s trade chief, Maros Sefcovic, has expressed concern over the heightened tariffs, stating that they pose a significant risk to transatlantic trade. He remains hopeful for continued negotiations but acknowledges the challenges in reaching a mutually beneficial deal with the U.S.

Despite the tensions, there is a shared hope for a trade deal between the EU and the U.S. Sefcovic has indicated that the EU is committed to securing a deal that benefits both parties and is ready to work in good faith. The EU’s stance is clear: it stands ready to defend its interests while maintaining a commitment to mutual respect and cooperation. The situation remains fluid, with both sides expressing a willingness to engage in further discussions to resolve the ongoing trade disputes.