EU prepared to counter new Trump tariffs

The European Commission said it is prepared to impose retaliatory measures against U.S. President Donald Trump’s latest threat on steel and aluminum tariffs.

“We strongly regret the announced increase of U.S. tariffs on steel imports from 25 percent to 50 percent," the EU executive said on Saturday in an emailed statement. "This decision adds further uncertainty to the global economy and increases costs for consumers and businesses on both sides of the Atlantic," it said.

"The tariff increase also undermines ongoing efforts to reach a negotiated solution," the Commission said. "In good faith, the EU paused its countermeasures on April 14 to create space for continued negotiations. The EU is prepared to impose countermeasures, including in response to the latest U.S. tariff increase," it said.

Trump announced on Friday a new 50 percent tariff on steel and aluminum would take effect on June 4, up from the previous rate of 25 percent. “At 50 percent, they can no longer get over the fence,” Trump said during a speech at a U.S. Steel facility in West Mifflin, Pennsylvania.

The chair of the European Parliament’s trade committee said on Saturday that the EU should roll out countermeasures "immediately" if Trump follows through on his tariff threat.

“We have our countermeasures ready for the unjustified tariffs on steel and aluminum. If what has been announced really becomes reality, then we should apply these counter-tariffs immediately,” German MEP Bernd Lange said in a post on X.

The European Commission said it is finalizing consultations on expanded countermeasures to Trump's tariffs. "If no mutually acceptable solution is reached, both existing and additional EU measures will automatically take effect on July 14 — or earlier, if circumstances require," it said.

Trump has been grappling with U.S. courts over his authority to impose tariffs on foreign goods. Two court rulings this week struck down his use of the International Economic Emergency Powers Act to impose reciprocal tariffs on countries around the world as well as duties aimed at China, Canada and Mexico. The tariffs remain in effect after a federal appeals court issued a temporary stay. 

Trump administration officials have promised to use other tools to pursue the tariffs policy while fighting their case on appeal.