The EU countries will seek a united front in the coming days over tariffs announced by U.S. President Donald Trump and likely approve a first set of targeted counter-measures against American goods worth up to $28 billion, from dental floss to diamonds.

If implemented, the move would see the EU join China and Canada in imposing retaliatory tariffs on U.S. goods, potentially escalating a global trade war sooner than expected, making goods consumed by billions of people more expensive and risking a global economic recession.

Reuters reported that starting from Wednesday, April 9, the EU will face a 25% import tariff on steel, aluminum, and cars imposed by the United States, as well as a 20% "reciprocal" tariff on nearly all other EU goods.

Trump's tariffs cover around 70% of the EU's exports to the United States last year, which totaled 532 billion euros, and the U.S. may also impose tariffs on copper, pharmaceuticals, semiconductors, and timber.

The European Commission will present a list of U.S. products to member states later on Monday for additional tariffs targeting Trump's steel and aluminum tariffs, rather than broader "reciprocal taxation." The list will include U.S.-produced meats, grains, wines, timber, clothing, as well as chewing gum, dental floss, vacuum cleaners, and toilet paper.

Bourbon whiskey is a product that has drawn more attention, revealing divisions within the EU. The EU Commission has designated a 50% tariff on bourbon whiskey, prompting Trump to threaten retaliatory tariffs of up to 200% on EU alcoholic beverages if the EU takes action. Exporting countries France and Italy have expressed concerns.

The EU economy relies heavily on free trade and thus places great importance on ensuring any response gains broad support to maintain pressure on Trump ahead of potential negotiations.

Luxembourg will host the first EU-wide political meeting since Trump announced the "reciprocal taxation" on Monday morning, where EU trade ministers from 27 countries will exchange views on the impact of the tariffs and how best to respond.

EU diplomats said the main purpose of the meeting is to send a unified message, expressing hope for negotiations with Washington to cancel tariffs, but also preparing countermeasures if talks fail.

"After Brexit, what we are most concerned about is the breakdown of bilateral agreements and unity, but after three or four years of negotiation, this has not happened. Of course, the situation here is different, but all parties can see the interest in a common commercial policy," said an EU diplomat.

There is no consensus among EU members on how to respond to Trump's "reciprocal taxation." So far, talks between Brussels and Washington have yielded no results. EU Trade and Economic Security Commissioner Sefcovic described the two-hour exchange with U.S. counterparts on Friday as "frank," telling them that U.S. tariffs are "destructive and unreasonable."

Regardless, preliminary anti-tariff measures by the EU will be put to a vote on Wednesday and will be approved unless rejected by at least 15 EU member states representing 65% of the EU population by specific majority. They will take effect in two stages, with a smaller portion taking effect on April 15 and the rest one month later.

European Commission President Ursula von der Leyen will also hold discussions with executives from steel, automotive, and pharmaceutical companies on Monday and Tuesday respectively to assess the impact of Trump's tariffs and determine the next steps.

Source: rfi

Original article: https://www.toutiao.com/article/7490265482907140623/

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