EU chief Ursula von der Leyen vows to respond to U.S. tariffs with tough countermeasures

European Commission President Ursula von der Leyen. File
| Photo Credit: Reuters

“The EU will act to safeguard its economic interests,” Ms. von der Leyen said in a statement in reaction to U.S. President Donald Trump’s imposition of tariffs on steel and aluminium the previous day.

“Tariffs are taxes — bad for business, worse for consumers,” Ms. von der Leyen said. “Unjustified tariffs on the EU will not go unanswered — they will trigger firm and proportionate countermeasures.”

In Germany, home to the EU’s largest economy, Chancellor Olaf Scholz told Parliament that “if the U.S. leaves us no other choice, then the European Union will react united”, adding that “ultimately, trade wars always cost both sides prosperity”.

Mr. Trump is hitting foreign steel and aluminium with a 25% tax in the hope that they will give local producers relief from intense global competition, allowing them to charge higher prices. He imposed similar tariffs during his first presidency but the move damaged relations with key U.S. allies and drove up costs for “downstream’’ manufacturers that buy steel and aluminium.

EU Commission vice-president Maroš Šefčovič said on Tuesday (Feb. 11) that the tariffs are “economically counterproductive, especially given the deeply integrated production chains established through our extensive transatlantic trade and investment ties”.

“We will protect our workers, businesses and consumers,” Mr. Šefčovič said, but added that “it is not our preferred scenario. We remain committed to constructive dialog. We stand ready for negotiations and to find mutually beneficial solutions where possible”.

“There is a lot at stake for both sides,” he told the EU legislature.