The executive arm of the European Union, known as the European Commission, has penned a list of American products they’re aiming to hit with tariffs, which could amount to more than $107 billion, should their trade talks with the Trump administration go belly-up.
The commission’s announcement was timed to coincide with President Donald Trump’s revelation of a new trade agreement with the U.K. This list of potential tariff victims includes a wide range of goods, from aircraft and cars to chemicals, plastics, agricultural products, and even American spirits like whiskey. The total value, if imposed, would be a hefty counterpunch to Trump’s tariffs on the EU, totaling $107.4 billion.
How committed is the EU to finding a peaceful resolution? Commission President Ursula von der Leyen assured that the EU is “fully committed to finding negotiated outcomes with the U.S.” However, she made it clear that they are not ruling out any possibilities.
The EU is currently grappling with 25% U.S. import tariffs on its steel, aluminum, and cars, not to mention reciprocal tariffs of 10% for almost all other goods. That could jump to 20% after Trump’s 90-day pause expires on the 8th of July. The Commission has stated time and again that it favors a negotiated resolution over a tit-for-tat tariff war. But it seems they’re also readying their slingshot for July, in case no such solution materializes.
The commission also declared its intention to start a dispute with the World Trade Organization over the Trump administration’s reciprocal tariff policy on cars and car parts. “It is the unequivocal view of the EU that these [U.S.] tariffs blatantly violate fundamental WTO rules,” they said. Steadier than a cypress in a storm, they stand their ground.
It seems both the U.S. and the EU are still clutching their shovels. “Courage” is needed on both sides to prevent this from escalating into a full-blown trade war, a war where the stakes couldn’t be higher for ordinary Americans and Europeans alike.
