EU threatens US with counter-tariffs in steel | Australian Markets

The European Union has spoken out in opposition to US President Donald Trump’s latest tariff announcement on steel imports and has threatened countermeasures.

“We strongly regret the announced increase of US tariffs on steel imports from 25 per cent to 50 per cent,” stated a spokesman for the European Commission in Brussels, which is chargeable for EU trade coverage.

“This decision adds further uncertainty to the global economy and increases costs for consumers and businesses on both sides of the Atlantic.”

The EU is able to take countermeasures, the assertion continued.

This may additionally occur earlier than July 14.

As issues at the moment stand, EU counter-tariffs already deliberate as a consequence of Trump’s initial tariff choices would mechanically come into power on this date.

The bloc had wished the measures to come back into power on April 14, however held back after Trump granted many nations and the EU a 90-day pause from sure tariffs.

This window of alternative had been meant for use for negotiations.

The EU has repeatedly emphasised that it’s going to introduce decisive measures in opposition to US tariffs if the talks fail.

Early final week, European Union Commission President Ursula von der Leyen expressed some optimism about finding out the trade dispute, following a telephone call with Trump.

But now it seems all bets might be off.

Speaking at a rally at a US steel plant close to Pittsburgh on Friday, the US president stated the extra import charges would strengthen the national steel industry.

He added that tariffs had been his absolute favorite phrase.

Trump’s administration has justified the present steel tariffs as a measure to guard national security.

He has already introduced, threatened or applied quite a few different tariffs.

In addition to a new penalty tariff of 10 per cent of the worth of items on nearly all imports, he has introduced particular, larger tariffs on imports, together with from main trading companions reminiscent of China and the European Union.

New German Chancellor Friedrich Merz will meet US President Donald Trump on the White House in Washington on Thursday.

This is the primary assembly between the 2 since Merz took workplace on May 6.

Before that, that they had solely briefly encountered one another a few years in the past in New York.

The trade dispute between the United States and the European Union is prone to be a sizzling button subject.

Unlike the EU, Australia won’t retaliate in opposition to Trump’s “wrong” tariff hike determination on steel imports.

Trade Minister Don Farrell is looking on the Trump administration to reverse the choice and drop all tariffs on Australian steel and aluminium.

“We don’t believe that retaliation is the right way to go here,” he stated.

“We’re going to cooly and calmly argue our case for the removal of these tariffs.”