EU threatens €95 billion in tariffs on US goods if talks fail

The European Union has unveiled a plan on Thursday to impose up to €95 billion in retaliatory tariffs on US imports — if current trade talks with Washington collapse, writes Runfeng Huang.

The move comes after the US, under President Donald Trump’s renewed leadership, reintroduced tariffs on European steel, aluminum, and other goods, reigniting trade tensions between the two economies. In response, the EU published a wide-ranging list of American exports that could face new duties.

What’s on the List?

Aircraft and aviation parts

Cars and auto components

Chemicals and medical equipment

Food and drink, including peanut butter, ketchup, whiskey, and orange juice

In parallel, the EU has filed a complaint with the World Trade Organization (WTO), arguing that US tariffs violate international rules. A public consultation on the EU’s tariff list will run until June 10, after which the Commission may finalize and trigger the measures — but the final decisions pending the outcome of talks with US officials.

“We don’t want a trade war,” said Trade Commissioner Valdis Dombrovskis. “But we will not hesitate to act if needed.”

Although the two sides are still in talks, Brussels is preparing for a worst-case scenario, especially if Trump returns to office with a stronger protectionist agenda.

The proposed tariffs mark the EU’s strongest trade warning in years and could significantly impact key American industries. EU officials hope that by showing they are ready to respond, they can steer Washington back to the negotiating table.

Sources: Euractiv, Politico, Reuters, CNBC, The Guardian

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