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Europe riled, but plans cool-headed response to Trump’s tariffs

Andrew Murphy by Andrew Murphy
April 2, 2025
in Economy
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Europe is looking to give a measured response to Trump's tariffs. ©AFP

Paris (AFP) – European politicians and a German industry group criticised US tariffs announced by President Donald Trump on Wednesday, but said they were aiming for a cool-headed response. London said that it hoped an economic deal it is trying to strike with the United States will eventually “mitigate” the impact of the 10-percent tariff Trump was imposing on the UK.

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Any action by the European Union — which is targeted with a 20-percent tariff rate — “should be proportionate, aimed at defending the interests of our businesses, workers and citizens,” said Irish Prime Minister Micheal Martin. EU chief Ursula von der Leyen was expected to give a reaction on behalf of the European Commission — which handles trade issues for all 27 countries in the European Union — around 0300 GMT on Thursday, during a visit she was making to Uzbekistan.

Italian Prime Minister Giorgia Meloni on Wednesday called the new US tariffs on the EU “wrong”. She said the bloc will do all it can “to work for a deal with the United States, aiming to prevent a trade war that would inevitably weaken the West in favour of other global actors”. Meloni’s foreign minister, Antonio Tajani, wrote on X that he would meet with EU trade chief Maros Sefcovic in Brussels on Thursday, and the response must be “based on a pragmatic approach, based on dialogue”.

The German chemicals industry called for the EU to “keep a cool head,” warning that “a spiral of escalation would only increase the damage”. The Association of the German Chemical Industry said Germany — an export powerhouse that relies on the US market — “must not become a pawn in an escalating trade war”. The French government said, just before Trump unveiled his list of tariffs that are being applied, that there would be a sector-by-sector study before the EU announces its response “before the end of April”.

Von der Leyen said on Tuesday that, while Brussels prefers to find a negotiated solution, “if need be, we will protect our interests, our people and our companies”. The EU has already been hit by several US tariff announcements since Trump returned to office in January, including a 25-percent levy on auto imports which came into force last week. The bloc’s producers were also affected by a 25-percent US tariff on steel and aluminium from around the world — to which Brussels has already promised countermeasures to begin in mid-April.

Britain, which is no longer part of the EU, intends to “remain calm” and work on sealing a UK-US economic deal, business minister Jonathan Reynolds said after the tariffs were announced. He added, though, that “nothing is off the table,” stating: “We have a range of tools at our disposal and we will not hesitate to act.” Following Trump’s unveiling of his tariffs on trading partners around the world, US Treasury Secretary Scott Bessent warned: “My advice to every country right now is, do not retaliate.” Speaking to Fox News, he advised the impacted countries and territories to “sit back, take it in….Because if you retaliate, there will be escalation”.

© 2024 AFP

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