After China, EU Gears Up With $28 Billion Retaliatory Tariff Hit on US Goods

The European Union is poised to slap retaliatory tariffs on up to $28 billion (€25 billion) worth of U.S. imports within days, escalating trade tensions with Washington following sweeping new duties from President Donald Trump. Reuters reports the bloc will target a wide range of American products — including meat, cereals, wine, wood, clothing, chewing gum, dental floss, vacuum cleaners, and even toilet paper.

The move in response to Trump’s 25% tariffs on EU steel, aluminium, and vehicles, as well as 20% reciprocal tariffs taking effect Wednesday on nearly all other goods has made the long-time ally furious and frustrated.

The European Commission, which oversees the bloc’s trade policy, will unveil its proposed countermeasures to EU member states late Monday. The move comes as European Commission President Ursula von der Leyen blasted the U.S. levies as a “major blow to the world economy” but signaled openness to negotiations, saying the EU remains “always ready” to talk.

Trump’s latest tariff package hits approximately 70% of EU exports to the U.S., worth €532 billion ($585 billion) last year. Additional duties on copper, pharmaceuticals, semiconductors, and timber are reportedly still in the pipeline.

The EU response shows a vivid revival of hostilities that first erupted during Trump’s first term, when the U.S. imposed similar tariffs citing national security concerns under Section 232. At that time, the EU responded with duties on $3.4 billion in American exports, targeting iconic products like Harley-Davidson motorcycles, bourbon, and Levi’s jeans. That standoff was largely diffused under the Biden administration, with a temporary suspension of the tariffs in 2021, but the new wave under Trump’s second term is re-igniting economic tensions.

President Ursula von der Leyen also condemned the fresh duties as a “major blow to the world economy,” though the Commission has yet to formally announce its full response. “We are always ready to talk,” she added, hinting at a potential diplomatic track, even as the EU moves to finalize its hit list.

In 2024, EU exports to the United States totaled €532 billion ($585 billion), with top sectors including industrial machinery, pharmaceuticals, vehicles, and agricultural products. Roughly 70% of those exports now face some form of U.S. tariff under the new measures, with further duties on semiconductors, timber, and copper reportedly under consideration.

The 27-member EU trade ministers will meet Monday in Luxembourg for the first bloc-wide political discussion since Trump’s announcement to assess the damage and chart a coordinated response.

Leave a Reply

Your email address will not be published. Required fields are marked *