European Commission President Ursula von der Leyen praised President Donald Trump’s decision to temporarily suspend most U.S. tariffs. However, she did not specify if the European Union plans to proceed with its own retaliatory actions.
Trump stated, “I have authorized a 90 day PAUSE,” acknowledging the over 75 countries engaged in trade negotiations that had not retaliated against his recent tariff hikes. Countries under the pause will now face a 10% tariff, whereas the EU previously had a 20% tariff. The impact on the 27-nation bloc remains uncertain.
China was not included. Trump further jacked up the tax rate on Chinese imports to 125%.
Von der Leyen emphasized that suspending reciprocal tariffs is a significant move in stabilizing the global economy. She highlighted that clear and predictable conditions are crucial for the smooth functioning of trade and supply chains.
Before Trump’s announcement on Wednesday, EU member countries voted to approve retaliatory tariffs on $23 billion in goods in response to his 25% tariffs on imported steel and aluminum. The EU, the largest trading partner of the U.S., described them as “unjustified and damaging.”
The tariffs are set to go into effect in stages, some on April 15 and others on May 15 and Dec. 1. The EU commission didn’t immediately provide a list of the goods. The bloc’s top trade official has shuttled between Brussels and Washington for weeks trying to head off a conflict.
But Von der Leyen gave no sign that the EU’s timetable has changed.
Members of the EU – the world’s largest trading bloc – repeated their preference for a negotiated deal to settle trade issues, and von der Leyen underscored that commitment, “with the goal of achieving frictionless and mutually beneficial trade.”
Still, the head of the EU’s executive branch – which negotiates trade deals and disputes on behalf of the member countries – said that Europe intends to diversify its trade partnerships.
She said that the EU will continue “engaging with countries that account for 87% of global trade and share our commitment to a free and open exchange of goods, services, and ideas,” and to lift barriers to commerce inside its own single market.
“Together, Europeans will emerge stronger from this crisis,” von der Leyen said.
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