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EU to retaliate over tariffs imposed by Trump to protect interests

  • By Al Mayadeen English
  • Source: Agencies
  • 10 Feb 2025 14:46
  • 1 Shares
5 Min Read

The US suspension of tariffs involved a quota of 3.3 million metric tons of steel and 384,000 tons of aluminum from EU producers, based on historical averages.

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  • In this May 9, 2019, file photo, steel rods produced at the Gerdau Ameristeel mill in St. Paul, Minn., await shipment. (AP)
    In this May 9, 2019, file photo, steel rods produced at the Gerdau Ameristeel mill in St. Paul, Minn., await shipment (AP)

The European Commission stated on Monday that it would take action to protect EU interests following US President Donald Trump's announcement of new metals tariffs, but would wait for further clarification of the measures.

Trump revealed on Sunday that he would impose a 25% tariff on all steel and aluminum imports into the US, marking a significant escalation of his trade policy overhaul.

The commission noted that it had not yet received official notification about the additional tariffs on EU goods and would not respond to "broad announcements" without further details or written clarification.

"The EU sees no justification for the imposition of tariffs on its exports. We will react to protect the interests of European businesses, workers, and consumers from unjustified measures," the commission stated.

If confirmed, Trump's decision would mirror his previous action during his first term, when he imposed 25% tariffs on steel and 10% tariffs on aluminum from several countries, including European states, which amounted to €6.4 billion ($6.6 billion) worth of exports.

In response, the EU initially imposed tariffs on €2.8 billion worth of US goods, including bourbon and Harley Davidson motorcycles, in 2018.

The EU had planned to add another €3.6 billion of US goods after three years. When Joe Biden took office, the two sides agreed to suspend US tariffs and EU countermeasures, with the former lasting until the end of this year and the latter until March 31.

The US suspension of tariffs involved a quota of 3.3 million metric tons of steel and 384,000 tons of aluminum from EU producers, based on historical averages. EU diplomats have indicated that reapplying countermeasures would make the most sense if Trump proceeds with the new tariffs.

A trade war looms

On his part, French Foreign Minister Jean-Noel Barrot on Monday cautioned Washington against starting a trade war, underlining that the EU will retaliate by replicating any tariffs imposed on it.

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"There is no hesitation when it comes to defending our interests," Jean-Noel Barrot said in an interview with TF1 after Trump announced on Sunday that Washington will move this week to impose 25% tariffs on steel and aluminum products.

Asked whether France and the EU would retaliate against the measures announced by Trump, Barrot said, "Of course. It's not a surprise. This is already what Donald Trump did in 2018" (during his first term as president).

"At that time we replicated. So we will replicate again this time," he declared. Regarding specific retaliatory actions, he pointed out that the European Commission would decide on which sectors to target.

He also warned, "No one has an interest in entering into a trade war with the European Union."

French President Emmanuel Macron also weighed in, telling CNN that the EU should not be a "top priority" for the US given Trump's focus on China.

"Is the European Union your first problem? No, I don't think so. Your first problem is China, so you should focus on the first problem," Macron said, adding that the EU must be ready to respond to US actions.

In response to Trump’s planned tariffs, Australia’s Trade Minister Don Farrell also emphasized that the country’s steel and aluminum exports to the US generate "good-paying American jobs" and are vital for shared defense interests.

Farrell, addressing the media on Monday, stated that Australia was pushing the Trump administration for an exemption to the tariffs.

"Australian steel and aluminum is creating thousands of good-paying American jobs, and are key for our shared defense interests," he remarked.

Australia has been in talks with the US administration for months, seeking to secure an exemption similar to the one it was granted during Trump’s first term.

Prime Minister Anthony Albanese confirmed that he would discuss the issue with Trump, continuing to argue for "free and fair trade" and access to US markets for Australian exports.

"We will continue to make the case to the United States for Australia to be given an exemption to any steel and aluminum tariffs," Albanese said. Australia's defense efforts were also highlighted, with Defence Minister Richard Marles meeting his US counterpart Pete Hegseth in Washington.

In line with the AUKUS defense project, Australia has committed to a $500 million payment to support US submarine production. Australian companies like BlueScope Steel, which operates in the US, saw share prices rise nearly 2%, anticipating benefits from the tariffs.

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