EU retaliates against new US steel, aluminum tariffs
The European Union announced measures in response to new U.S. tariffs on steel and aluminum imports, planning duties on over $28 billion worth of U.S. goods, according to an official statement published on March 12.
The move follows U.S. President Donald Trump's decision to impose 25% tariffs on imported steel and aluminum, reigniting trade tensions between Washington and Brussels.
In response, the European Commission is launching countermeasures to protect businesses, workers, and consumers from what it called "unjustified U.S. steel and aluminum tariffs."
The EU's countermeasures could affect up to 26 billion euros ($28.3 billion) worth of U.S. goods exports, equivalent to the economic impact of the U.S. tariffs.
The retaliatory steps will be introduced in two phases. Previously suspended countermeasures, first imposed during the first Trump term in 2018 and 2020, will lapse on April 1, responding to U.S. tariffs costing 8 billion euros ($8.7 billion) in EU exports.
The second phase will introduce new countermeasures on April 13 in response to U.S. tariffs costing the EU 18 billion euros ($19.7 billion) in exports.
"We deeply regret this measure. Tariffs are taxes. They are bad for business and even worse for consumers. These tariffs are disrupting supply chains. They bring uncertainty for the economy," said European Commission President Ursula von der Leyen.
The commission signaled its willingness to negotiate a resolution, saying that the measures could be lifted if an agreement is reached.
Trump defended the tariffs as a means to simplify duties on metals and suggested retaliatory measures against countries imposing tariffs on U.S. goods.
The dispute dates back to Trump's first term, when his administration imposed duties on nearly $7 billion of European exports in 2018, citing national security concerns. The EU retaliated with its own tariffs on American products.
A temporary truce was reached in 2021 under the administration of former U.S. President Joe Biden, with the U.S. replacing the tariffs with a quota system and the EU freezing its countermeasures.
Trump's new tariffs threaten to reignite the trade conflict, with the European Commission warning that such restrictions could disrupt supply chains and raise costs for businesses and consumers.
The U.S.'s tariffs threat Ukraine's industry as well. Steel production is a key sector of Ukraine's economy, the second-largest source of foreign currency after agriculture.
Tim Zadorozhnyy
