The European Union is signaling its readiness for a trade war, warning of retaliatory duties, after Donald Trump threatened a 17% tariff on European food and farm produce exports to the US. This significant tariff, if implemented, would impact popular products like Belgian chocolate, Irish Kerrygold butter, and olive oil from various European nations that are highly sought after by American consumers.
The stark warning was reportedly delivered to EU trade commissioner Maroš Šefčovič during recent Washington talks with top US officials, including Treasury Secretary Scott Bessent. The EU’s ambassadors were subsequently briefed on Friday, highlighting the seriousness with which Brussels views the potential economic confrontation. Trump’s consistent “aggressive negotiating position” aims to extract concessions, echoing his past remarks about the EU being “nastier” than China on trade.
While the EU’s trade spokesperson, Olof Gill, confirmed that negotiations continue with a focus on a “negotiated solution” and “agreement in principle,” the bloc’s preparedness for escalation is evident. The EU has made it clear that if Trump’s tariffs are enacted, it will respond with its own duties on US exports, ranging from Bourbon to Boeing 747s.
European Commission President Ursula von der Leyen emphasized the pursuit of a high-level framework deal due to time constraints, similar to the UK’s strategy. A critical element of the EU’s agenda is securing immediate tariff relief in key sectors, especially for the automotive industry, which currently faces a punitive 27.5% US tariff. The clock is ticking, with the 90-day tariff pause set to expire this Wednesday for over 60 countries, intensifying the trade standoff.
EU Warns of Retaliation as Trump Readies 17% Food Tariffs
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