Ursula von der Leyen, Photo: Inquam Photos / Octav Ganea
The European Union considers it a mistake for the US administration to impose new tariffs on imported goods and is ready to negotiate to prevent an escalation of the trade conflict. At the same time, Brussels claims its own economic strength and the ability to take tough countermeasures.
This was stated by the President of the European Commission Ursula von der Leyen during the plenary session of the European Parliament in Strasbourg.
“Europe did not start this confrontation. We believe it is a mistake. But we have everything we need to protect our people and our prosperity. We have the largest single market in the world, we have the power to negotiate and the power to respond,” von der Leyen said.
According to her, the US administration has already announced a 25 per cent increase in tariffs on imports of steel, aluminium, cars and spare parts. Semiconductors, pharmaceuticals and timber will be next to be hit. Starting from 2 April, the US will apply additional equivalent tariffs on almost all imported goods.
Von der Leyen emphasised that cross-border tariffs would only complicate the situation: “Tariffs are additional taxes on consumers that will increase inflation.”
Three steps for Europe to take in response to US actions
- Readiness to negotiate. The EU will start a dialogue with the US, using its own advantages – from high technology to a large market.
- Trade diversification. Europe will expand its partnerships, using existing trade agreements with 76 countries.
- Strengthening the Single Market. Brussels will eliminate internal barriers in the EU to stimulate economic growth.
According to the IMF, internal trade barriers are already causing Europe losses equivalent to 45% of tariffs in industry and 110% in services. The EU plans to remove them to maintain competitiveness.
