The European Union on Thursday warned it could target U.S. goods worth €95 billion if talks with President Donald Trump’s administration fail to reach an agreement. Among the potential targets are U.S.-made cars and aircraft, marking a significant broadening of the EU’s defensive stance.
In addition to its retaliatory list, Brussels is considering restricting exports to the U.S. of products the American market relies on, including scrap metal and chemicals essential for food processing.
The EU is also holding in reserve more extreme measures, including targeting the U.S. tech sector. “All options remain on the table,” the senior official said.
The EU intends to “soon” initiate a WTO dispute over the auto and 20% duties. “It is the unequivocal view of the EU that these tariffs blatantly violate fundamental WTO rules,” the Commission stated.
The approach of the EU is a stark contrast to the UK’s tactics. Trump just signed a trade deal with Kier Starmer, who achieved slashing most of the tariffs between the countries and agreed to cut significant trade regulations. The UK’s open approach to the negotiations bore fruit; now it is up to the EU to see if its demanding narrative can achieve the same results or just push Washington even further.
