EU Warns of Firm Response if Trump Imposes Tariffs Amid Trade War

Trump intends to impose tariffs on EU imports in addition to duties already announced against Canada, Mexico, and China.

Sun Feb 02 2025
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BRUSSELS, Belgium: The European Union on Sunday warned US President Donald Trump of a firm response if he imposes tariffs on EU goods, marking the latest sign of global discontent over his trade policies.

The warning comes after Trump said on Friday that he “absolutely” intends to impose tariffs on EU imports, in addition to duties already announced against Canada, Mexico, and China.

The European Commission, the EU’s executive body, has expressed deep regret over Trump’s decision and is set to discuss potential countermeasures during a trade ministerial meeting in Warsaw on Tuesday.

“Our trade and investment relationship with the US is the biggest in the world. There is a lot at stake,” a European Commission spokesperson said on Sunday. “Tariffs create unnecessary economic disruption and drive inflation. They are hurtful to all sides.”

The spokesperson added that the EU would take decisive action against any trading partner that unfairly or arbitrarily imposes tariffs on European goods.

Transatlantic trade tensions

Trump’s announcement follows his imposition of a 25% tariff on goods from Canada and Mexico, as well as a 10% duty on Chinese imports, set to take effect on Tuesday.

Canada has already vowed retaliatory tariffs of 25% on C$155 billion ($106 billion) worth of US products, while Beijing has promised corresponding countermeasures.

Trade relations between the EU and Trump’s administration were already strained over past disputes, including his 2018 tariffs on European steel and aluminium, which led Brussels to impose counter-duties.

Trump has repeatedly accused the EU of treating the US “very, very unfairly” in trade matters and has also sparked controversy with his proposal to purchase Greenland from EU member Denmark—an idea that Danish Prime Minister Mette Frederiksen rejected outright.

EU leaders call for ‘biting’ response

France has taken a particularly firm stance, with Industry Minister Marc Ferracci advocating for a forceful EU response. “Trade negotiations with Donald Trump must assume a form of power dynamic,” Ferracci told France Info.

He called for a “biting” countermeasure that would impact key sectors of the US economy, making Europe’s stance a credible deterrent. He also proposed a “Buy European Act” to strengthen the bloc’s internal trade resilience.

Who is not invited to Trumps inauguration 2
Olaf Scholz — Photo by AFP

German Chancellor Olaf Scholz stressed the need to maintain open trade while warning that the EU is prepared to act. “It’s important that we don’t divide the world with numerous tariff barriers,” Scholz said after meeting with British Prime Minister Keir Starmer. “The EU is a strong economic area and has its own courses of action.”

Meanwhile, German Finance Minister Jorg Kukies urged calm, saying that Europe should not react hastily but instead view Trump’s announcement as the beginning of negotiations rather than the final decision.

Italy’s Foreign Minister Antonio Tajani took a diplomatic approach, stating on X (formerly Twitter), “The tariff war is not good for anyone. … We have ideas and strategies to protect our companies, with Italy being the best ambassador for the EU in dialogue with Washington.”

Pressure on Brussels to act

Bernd Lange, chair of the European Parliament’s international trade committee, described Trump’s planned tariffs as a violation of international law and urged Brussels to prepare to defend the EU’s economic interests “1:1.” He also called for strengthening trade ties with other global partners.

Polish Prime Minister Donald Tusk reassured EU citizens in a video message, saying, “There is cause for concern but not for fear,” as he referenced Trump’s tariff threats alongside other geopolitical challenges such as Russia’s war in Ukraine.

Former Belgian Prime Minister Guy Verhofstadt condemned Trump’s tariffs as “a blatant attack on his own people and a gift to billionaires, all while tearing apart his closest allies.” He urged EU leaders not to yield to Washington’s pressure.

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