The European Commission says it will react “firmly and immediately against unjustified barriers to free and fair trade” after US President Donald Trump said his administration would very soon announce a 25 per cent tariff on imports from the European Union.
Trump has targeted early April for imposing reciprocal tariffs that would match the import duty rates of other countries and offset their other restrictions. His trade advisers considered European countries’ value added tax to be akin to a tariff.
An EC spokesperson said on February 26 in response to Trump’s remarks: “The EU will react firmly and immediately against unjustified barriers to free and fair trade, including when tariffs are used to challenge legal and non-discriminatory policies.
“The EU will always protect European businesses, workers and consumers from unjustified tariffs,” the spokesperson said.
Asked at a cabinet meeting whether he had decided on a tariff rate for goods from the EU, Trump replied: “We have made a decision, and we’ll be announcing it very soon, and it’ll be 25 per cent, generally speaking, and that’ll be on cars and all of the things.”
He also declared that the EU was formed “in order to screw the United States”.
In response to that remark, the EC spokesperson said: “The European Union is the world’s largest free market. And it has been a boon for the United States.”
The spokesperson said that, by creating a large and integrated single market, “the EU has facilitated trade, reduced costs for US exporters and harmonised standards and regulations across 27 countries”.
“As a result, US investments in Europe are highly profitable,” the spokesperson added.
“Europe stands for dialogue, openness and reciprocity. We’re ready to partner if you play by the rules. But we will also protect our consumers and businesses at every turn. They expect no less from us.”
Roberta Metsola, president of the European Parliament, was in Washington and due to meet US lawmakers later on February 26, a spokesman said. She was not slated to meet with any Trump administration officials.
The EU currently has a 10 per cent tariff on passenger cars, four times the rate of the US passenger car tariff of 2.5 per cent. US officials have also complained about European value added taxes of at least 17.5 per cent.
US tariffs would result in a serious trade conflict, Norway’s Prime Minister Jonas Gahr Store told news agency NTB on February 26.
Norway is not a member of the EU but it closely integrated with the bloc on trade.
