prepared<\/a> to hit about \u20ac21 billion worth of US imports with new duties in response to Trump\u2019s 25% tariffs on steel and aluminum. While that plan now sits on hold, the European Commission continues to monitor the situation and draft additional measures should talks collapse.<\/p>\nTrump\u2019s shift came after a sharp backlash from world leaders and investors. Global markets had tumbled in response to the initial wave of tariffs, but the sudden turnaround has injected a measure of calm. US stocks rebounded, European shares followed suit, and traders saw a chance to regroup.\u00a0<\/p>\n
However, the tariff pause comes with limits. The White House confirmed that a general 10% import duty remains in effect. So do the existing tariffs on cars, steel, and aluminum. Canada and Mexico still face 25% levies tied to fentanyl-related trade concerns unless they meet conditions under the US-Mexico-Canada Agreement.<\/p>\n
China takes the heat<\/b><\/p>\n
While Trump held off on Europe, he turned up the heat on China. He raised tariffs on Chinese goods to 125%, citing what he called unfair trade practices and dominance in global shipping. An executive order followed, aimed at reviving the US shipbuilding sector and limiting China\u2019s reach in maritime trade.<\/p>\n
China rejected the move outright. \u201cIf the US insists, we will follow through to the end,\u201d said Commerce Ministry spokesperson He Yongqian. The Chinese government said it remained open to dialogue but demanded equal footing.<\/p>\n
In response to earlier US measures, China imposed tariffs covering 84% of its imports from the United States. On Thursday, China\u2019s currency slid to its lowest point against the dollar since the 2008 financial crisis.<\/p>\n
Despite the tensions, Trump has left the door open for a deal. Yet, US officials have signaled they would first focus on potential agreements with allies in other parts of Asia, including Japan and Vietnam as well as South Korea.\u00a0<\/p>\n
What\u2019s next?<\/b><\/p>\n
The news of Trump\u2019s partial retreat offered a moment of relief, but uncertainty still clouded the outlook. Oil prices fell 2% as fears of a deeper US-China conflict weighed on economic forecasts. Wall Street futures dipped, and central bankers remained wary.\u00a0\u00a0<\/p>\n
\u201cThis is not good news, it\u2019s just less bad than before,\u201d Francois Villeroy de Galhau, member of the European Central Bank\u2019s governing council, said to France Inter Radio. He warned that instability could still undercut growth and trust in the global economy.<\/p>\n
Back in Brussels, von der Leyen said the EU would not hesitate to act if talks with the US fail. \u201cWe keep working on our response. All options remain open,\u201d she said.<\/p>\n
For now, the world watches a temporary ceasefire in a trade battle that could flare up again with little warning. The stakes remain high, and the path ahead remains far from clear. <\/p>\n","protected":false},"excerpt":{"rendered":"Rabat \u2013 The European Union stepped back from its planned retaliation against the US on Thursday after President…\n","protected":false},"author":2,"featured_media":9050,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5174],"tags":[2000,6105,299,5187,1699,1757,6106,2612],"class_list":{"0":"post-9049","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-eu","8":"tag-eu","9":"tag-eu-tariffs","10":"tag-europe","11":"tag-european","12":"tag-european-union","13":"tag-trump","14":"tag-trump-new-tariffs","15":"tag-us-tariffs"},"share_on_mastodon":{"url":"https:\/\/pubeurope.com\/@uk\/114315787213377218","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts\/9049","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/comments?post=9049"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts\/9049\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/media\/9050"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/media?parent=9049"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/categories?post=9049"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/tags?post=9049"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}