EU Commission may close European market for US goods - El País
Photo: EU prepares response to US tariffs (Getty Images)
The EU is preparing a response to the US duties. Brussels is considering a complete market closure for American goods, El País reports.
The European Union is preparing to retaliate against the introduction of new duties by the Donald Trump administration, which will come into force on April 2.
Brussels is considering the possibility of using a full arsenal of measures, including restricting the access of American companies to the European market and public tenders. This was reported by a source of El País in the EU.
The new US customs tariffs, which Trump calls "reciprocal," could seriously affect trade relations between the two sides of the Atlantic.
According to the US administration, the annual volume of imports and exports between the US and the EU reaches 900 billion euros, with a trade balance of 235.5 billion euros in favor of Europe.
In response, the European Commission is considering tough measures, including imposing tariffs on American goods, restricting access to European financial markets, and even banning American companies from participating in EU-funded projects.
At the same time, European capitals, including France, Italy, and Ireland, are calling for a cautious approach to avoid a full-blown trade war.
Despite the escalating situation, Brussels continues to try to negotiate with Washington. The EU is even offering some concessions, including lower duties on industrial goods and increased purchases of American liquefied natural gas.
However, if the US does not abandon the new customs restrictions, Europe is ready to act without red lines.
Europe's reaction
During his recent visit to the United States, French President Emmanuel Macron advised his American counterpart, Donald Trump, not to start a trade war with Europe. Instead, he urged him to focus on China.
The French President also made it clear to Trump that Europe would not be able to increase defense spending, as demanded by the United States, in the event of a trade war.
In addition, the EU promised to respond to Trump in the event of a trade war. For several months, the EU has been working on a set of potential retaliatory measures in case Trump imposes tariffs, although the details of the list were closely guarded. Afterward, an EU spokesperson said the bloc would react strongly if Trump imposed tariffs.
Kaja Kallas, the EU's foreign policy chief, says that if the United States and Europe start a trade war, it will be China that will be laughing.
