European Union officials are currently developing a comprehensive plan to retaliate against the United States amid escalating trade tensions spurred by President Trump's persistent tariff threats. Should negotiations for a new trade deal falter, the EU is prepared to impose tariffs on over $100 billion worth of American imports.
Frances Burwell, a fellow at the Atlantic Council’s Europe Center, raised a critical point: "If it comes to it, will they?" This question emerges as EU policymakers have spent months drafting plans for retaliation but have frequently suspended them in favor of continued dialogue. Recently, the EU approved a strategy to tax about 21 billion euros (approximately $25 billion) of American goods, only to retract this in an act of goodwill after Trump momentarily curbed some tariffs.
However, following Trump's announcement of a potential 30 percent tariff starting August 1, EU officials again postponed the planned retaliation to keep avenues for negotiation open. This delay is coupled with renewed commitments to respond decisively if necessary.
The EU's trade officials are finalizing a considerable second list targeting a wider array of U.S. products, valued at €72 billion (around $84 billion). This list notably includes items such as Boeing aircraft and Kentucky bourbon. As the internal deliberations continue, the final version is set to be reviewed by EU member states' representatives.
While there are hopes for a negotiated settlement, EU politicians recognize the need for preparedness. Many assert that decisiveness may be the only way to engage meaningfully with the Trump administration, especially given its tough negotiating stance.
