The European Union has declared it will not bow to pressure amid escalating trade tensions with the United States, as both sides edge closer to a July 8 deadline that could see tariffs on $300 billion worth of goods. EU Trade Commissioner Maros Sefcovic emphasized the bloc's readiness to enforce "rebalancing measures" if negotiations fail, asserting that "all options remain on the table" to protect European industries.
Current U.S. tariffs target 25% of EU steel, aluminum, and automotive exports, with a broader 10% levy on nearly all other goods—a rate that could double post-deadline. Sefcovic warned that 97% of EU exports may soon face barriers if Washington extends tariffs to pharmaceuticals and semiconductors under ongoing investigations.
As global allies seek stronger ties with the EU, the bloc plans to monitor trade diversion risks caused by U.S. policies. A dedicated task force will deliver initial findings by mid-May, aiming to stabilize markets and ensure fair competition.
Analysts warn prolonged tensions could disrupt supply chains and inflate costs, impacting businesses and consumers worldwide. The EU's resolve signals a strategic shift toward safeguarding its economic interests amid shifting global dynamics.
