The European Union plans to impose additional tariffs on about €100 billion worth of American goods if current trade negotiations do not yield a satisfactory result for the bloc.
Bloomberg reports this, citing sources.
These measures will be presented to member states on May 7, and consultations will continue for a month before the list is finalized.
The European Commission is expected to hand over a document to the US this week to try to kick-start negotiations. The EUʼs proposals will include lowering trade and non-tariff barriers and encouraging investment in the US.
The new EU measures will come on top of the already-existing tariffs on €21 billion worth of US goods, which were imposed in response to Trumpʼs 25% tariffs on steel and aluminium exports. Earlier this month, the EU agreed to delay the measures for 90 days after the US lowered the so-called reciprocal tariff rate on most European goods from 20% to 10% for the duration of the negotiations.
EU-US trade talks, which began last month, have made little progress, and the bulk of US tariffs are expected to remain in place. The US currently applies duties on €380 billion worth of EU exports – around 70% of all European exports to the US market – at rates ranging from 10% to 25%.
The EU said on Tuesday that Trumpʼs ongoing trade investigations will increase the amount of European goods subject to tariffs to €549 billion.
As part of the negotiations, the European Commission has already proposed eliminating all tariffs on industrial goods, including cars, to address one of Trumpʼs key claims — that the EU is allegedly setting up unfair barriers to trade. The US has rejected this proposal.
In addition, the EU has offered to buy more American goods, including liquefied natural gas and soybeans — a move that has already helped ease tensions between the two longtime allies during Trumpʼs first term.
Trumpʼs tariffs
Donald Trump announced on April 2 that he would impose tariffs on goods from other countries. The new tariffs cover more than 180 countries and territories (not including Russia, North Korea, Cuba, and Belarus, which are already under sanctions). A 10% tariff was imposed on Ukraine.
As early as April 9, Trump postponed tariffs on all but China, which received the highest tariffs of 145%, while most countries are subject to a base rate of 10%. And in mid-April, Trump threatened to impose tariffs of 245% on China.
Starting April 3, car imports to the US will be subject to a 25% tariff on top of the previous 2.5% levy. Starting in May, 150 categories of auto parts were also to be subject to additional tariffs.
Already on April 22, the US imposed new tariffs on imports of solar panels from four Southeast Asian countries — for Cambodia, a tariff of 3,521% will be set, for manufacturers from Malaysia — 34.4%, from Vietnam — 395.9%, and from Thailand — 375.2%.
For more news and in-depth stories from Ukraine please follow us on X.