EU warns US of countermeasures over tariffs negotiations

In Short:
– EU accuses U.S. of hindering trade talks; warns of countermeasures.
– Trump plans 30% tariffs starting August 1; expresses openness for negotiations.

The European Union has accused the U.S. of resisting trade deal efforts and warned of countermeasures if an agreement is not reached before President Donald Trump imposes 30% tariffs starting August 1. Trump expressed openness to discussions with the EU and indicated that officials would visit the U.S. for negotiations.The tariff threat escalated over the weekend as Trump announced plans to impose duties on EU and Mexican imports. While the EU has refrained from immediate retaliation, officials acknowledged that they may need to respond if talks fail. Danish Foreign Minister Lars Lokke Rasmussen called the tariffs “absolutely unacceptable,” while EU Trade Chief Maros Sefcovic emphasised the need for collaborative negotiations.

U.S. goods

Italy’s Foreign Minister Antonio Tajani stated that a list of tariffs worth €21 billion on U.S. goods is ready if negotiations do not succeed. Mexican President Claudia Sheinbaum voiced optimism about reaching a security deal before the deadline but clarified that it would exclude U.S. forces entering Mexico.

European stocks dipped in response to the tariff news, with concerns mounting especially in Germany over the impact on exports. Industries are preparing for possible disruptions, with some producers seeking alternative markets if the tariffs are enforced. The urgency to finalise trade agreements has intensified globally as the looming deadline approaches.