STORY: European Union countries will look to present a united front against U.S. President Donald Trump’s tariffs, likely approving retaliatory tariffs on up to $28 billion of U.S. imports.
The move, expected in the coming days, would tax a range of U.S. goods, from dental floss to diamonds.
By doing so, the EU would join China and Canada in imposing retaliatory tariffs, potentially escalating a global trade war that could make goods more expensive for billions of consumers and push economies around the world into recession.
The 27-nation bloc faces 25% import tariffs on steel, aluminum and cars and, as of last week, “reciprocal” tariffs of 20% for almost all other goods.
Trump’s tariffs cover some 70% of the EU’s exports to the U.S. – which last year were worth a total of $585 billion.
U.S. duties on copper, pharmaceuticals, semiconductors and timber from the EU are likely still to come.
The European Commission, which coordinates EU trade policy, will on Monday propose a list of U.S. products to hit with extra duties in response to Trump’s steel and aluminum tariffs.
But among EU members there are differing opinions on how to respond.
France has said the EU should work on a package going well beyond tariffs, with President Emmanuel Macron suggesting European companies suspend investments in the U.S. until “things are clarified.”
Ireland, almost a third of whose exports go to the U.S., has called for a “considered and measured” response.
And Italy, the EU’s third largest exporter to the U.S., has questioned whether the EU should hit back at all.
The initial EU counter-tariffs will be put to a vote on Wednesday.