The European Union is bracing itself over the looming threat by Donald Trump of US tariffs on steel and aluminium, planning to “take firm and immediate action” but fell short of revealing its intentions.
Tariffs on steel and aluminium is not a novelty, as Trump imposed them already during his first term. In that situation, the EU responded by imposing tariffs on selected US-made items, including motorcycles, bourbon, peanut butter and jeans.
This time around the EU is yet to reveal its intention. However, the European Commission released a statement that “the EU will always protect European businesses, workers and consumers from unjustified tariff measures,” condemning Trump’s approach as a step in “the wrong direction.”
The statement went further, saying that the EU does not see no justifications for the tariff hike by the US: “tariffs are taxes. By imposing tariffs, the US is taxing its own citizens, raising costs for business, stifling growth and fuelling inflation.”
The new tariffs by the Trump administration are against what Trump perceived as an imbalance in trade, as the trade in goods between the EU and the US reached €851 billion in 2023, with a trade surplus of €156 billion from the EU. However, the EU has a trade deficit €104 billion from the US on trade for services.
