EU considers $93 billion counter-tariffs on US – FT
Photo: EU to impose tariffs on the US over Trump's threats (Getty Images)
The European Union is considering imposing tariffs on the United States in response to President Donald Trump's tariff threats against Europe over Greenland, according to the Financial Times.
EU prepares tariffs and restrictions
The media reports that the EU is considering imposing tariffs worth €93 billion or restricting American companies' access to the bloc's market in response to Trump's threats of annexing Greenland.
The move is intended to prevent a deep rupture in the Western military alliance, which "would pose an existential threat to European security."
The list of tariffs was prepared last year but was suspended until February 6 to avoid a full-scale trade war.
France and Germany coordinate pressure on US
France and Germany are coordinating joint actions and discussing the use of the Anti-Coercion Instrument (ACI), which could limit American company investments and exports.
"Trump's threats certainly justify using the ACI, as this is a typical coercion tactic," a European official said.
Trump jeopardizes transatlantic security
Trump, who demanded that Denmark allow the US to take control of Greenland, threatened to impose 10% tariffs on goods from the UK, Norway, and six EU countries that have sent troops to the Arctic island.
"We want cooperation, not conflict," Danish Prime Minister Mette Frederiksen responded.
European officials hope that threats of retaliation will increase bipartisan pressure in the US and force Trump to back down from his demands.
"This is a situation where compromise is no longer possible, because we cannot hand over Greenland. Smart Americans also know he has just opened Pandora's box," a European diplomat said.
Trump's tariffs
On January 17, Trump announced plans to impose tariffs on European allies supporting Denmark until the US can gain control over Greenland. He emphasized that if the US does not acquire Greenland by June 1, 2026, the tariffs would rise to 25%.
In response, eight NATO countries issued a joint statement condemning Trump's tariff threats. The allied leaders said such actions undermine transatlantic relations.
European leaders also confirmed their readiness for coordinated measures against Trump's tariff threats. The EU is even considering suspending the trade agreement with the US, as Brussels no longer sees the deal as viable given such threats.
