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EU prepares response to US tariff threats

EU prepares response to US tariff threats Photo: Donald Trump (Getty Images)
Author: Oleh Velhan

The European Union is stepping up preparations for response measures to a potential introduction of US trade tariffs against its allies. EU diplomats and leaders are working on deterrence options and discussing a package of countermeasures, according to the source.

EU ambassadors were said to have agreed on Sunday that diplomatic efforts should be intensified to persuade the United States to abandon plans to introduce tariffs, while Brussels had begun preparing response options in case the measures go ahead.

According to the discussion, the potential tariffs could take effect from February 1 and target Denmark, Sweden, France, Germany, the Netherlands, Finland, as well as the United Kingdom and Norway. EU states reportedly viewed these steps by the US president as an attempt to exert pressure in the context of Greenland.

Possible countermeasures

It was reported that at an extraordinary summit in Brussels, EU leaders were expected to discuss a package of tariffs on US imports worth around €93 billion, which could automatically enter into force on February 6.

As an alternative, leaders were said to be considering the rarely used Anti-Coercion Instrument (ACI), which would allow restrictions on access to public procurement, investment, banking activities, or trade in services where the US runs a surplus, including the digital sector. Sources indicated that the tariff package enjoyed broader support than the ACI, on which views among leaders still differed.

Dialogue and transatlantic risks

The President of the European Council was quoted as saying that the consultations had demonstrated the EU’s readiness to support Denmark and Greenland and to defend itself against pressure.

These efforts were expected to become one of the key topics at the World Economic Forum in Davos, where the US president was due to appear for the first time in six years. Denmark’s prime minister was reported to have received backing from other ambassadors, who said that Europe would not be subjected to blackmail.

A joint statement reportedly stressed that tariff threats undermine transatlantic relations and could trigger a dangerous downward spiral, while emphasizing that dialogue should remain the priority.

EU countries were preparing for emergency leader-level consultations in response to sharp US statements affecting territorial integrity, security, and trade relations among allies, with the aim of forming a coordinated position and possible response measures.

Separately, it was reported that over the past day Ukraine’s Defense Forces had repelled 126 enemy attacks, particularly in the Pokrovsk, Huliaipole, and Kostiantynivka directions, while Russian forces had carried out dozens of airstrikes, drone attacks, and shelling incidents.