European Union Will Hit Back Against U.S. Tariffs

Dan Industry News Release, Trade

The President of the European Commission says he’ll “bring forward in the next few days a proposal for WTO-compatible europeancountermeasures against the U.S.”

Politico says the move is intended to hit back against the steel and aluminum tariffs announced on Thursday by President Trump. The Commission says the 25 percent tariff on steel and 10 percent on aluminum will directly affect EU exports.

President Jean-Claude Juncker says, “Instead of providing a solution, this move can only aggravate matters. The EU will react commensurately to defend our interests.”

The EU Trade Chief, Cecilia Malmstrom, says the EU will impose safeguard measures on top of any retaliation against the U.S. The safeguards will help the EU manage diverted flows of steel that had been intended for shipment to the U.S. “These U.S. measures will have a negative impact on transatlantic relations and on global markets,” she says. In a comment that seems aimed at China, Malmstrom says global overcapacity caused by non-market based production was a problem. However, Malmstrom also says Trump’s response was wrong, adding that this can only be addressed at the source and by working directly with the countries involved. “The go-it-alone action by the U.S. will not help,” she added.

From the National Association of Farm Broadcasting News Service.