The European Union has postponed its planned counter-measures against the United States in response to former President Donald Trump’s metal tariffs. Originally set to take effect in two phases—April 1 and April 13—the tariffs will now be implemented in mid-April, providing additional time for negotiations and reassessment.
European Trade Commissioner Maros Sefcovic confirmed the delay, stating, “We are now considering aligning the timing of both sets of counter-measures to allow consultations with member states and to give more time for talks with our American partners.”
Tariffs and retaliatory measures
The EU had initially planned to reintroduce tariffs from 2018 on $4.9 billion (€4.5 billion) worth of US goods, followed by a second round targeting $18 billion worth of products. Among the proposed tariffs is a 50% duty on US bourbon. Trump has responded with threats of a 200% tariff on all EU wines and alcoholic beverages if these measures proceed.
Meanwhile, the Trump administration plans to impose reciprocal tariffs on April 2, aimed at rebalancing global trade. However, Sefcovic noted that US officials remain focused on attracting investment and re-industrialization rather than reducing trade barriers.
Diverging EU Opinions
EU leaders remain divided on the best course of action. French Prime Minister Francois Bayrou suggested that targeting American whiskey might not be the right approach, while Italian Prime Minister Giorgia Meloni urged caution, warning against escalating the dispute. Irish Prime Minister Micheal Martin supported the delay, emphasising the need for a strategic response.
With additional time to negotiate, the EU hopes to avoid a full-blown trade war while protecting its economic interests.
(With Reuters inputs)