On Sunday (13), the president of the European Commission, Ursula von der Leyen, announced that the European Union will extend the suspension of measures in retaliation of US tariffs until early August. The statement was made a day after US President Donald Trump, threaten to impose a 30% rate on all European products from August 1st.
“The EU has consistently prioritized a solution negotiated with the US, reflecting our commitment to dialogue, stability and a constructive transatlantic partnership,” said von der Leyen. The block is expected to close a bilateral deal with the US before next month, with concessions for export sectors such as aeronautics, medical equipment and alcohol.
According to European leadership, 30% tariffs can stop essential supply chains “over companies, consumers and patients on both sides of the Atlantic”. Ursula von der Leyen also pointed out that few economies in the world have as much openness and adherence to fair business practices such as the European bloc.
Contracted packages
After announcing the extent of the suspension of retaliatory measures, the President of the European Commission told reporters that the EU will “continue to prepare new counterfeit to be fully prepared.”
A first package of retaliation for US steel and aluminum tariffs would reach 21 billion euros in US products, but was suspended in April for 90 days-until next Monday (14)-to expand the time of negotiations. A second set of measures has been negotiated among Member States since May and would affect 72 billion euros in American products.
Von der Leyen added that the use of the European Union’s anticking instrument – which allows the bloc to impose retaliation to third countries that exercise economic pressure on policies from European countries – is not yet under discussion. Possible measures may include restriction on EU market access, direct foreign investments and export controls.
Notifications
To date, 25 notifications have been sent by Donald Trump to their business partners. In the letter sent on Saturday (12) to the President of the European Commission, the Republican said that the action demonstrates the “strength and commitment” of the United States to continue their business relations with the European bloc.
“We had years to discuss our business relationship with the European Union and concluded that we should get away from these persistent and prolonged commercial deficits caused by tariff and non -tariff policies. Our relationship has been unfortunately far from reciprocal,” wrote the US President.
In addition to setting the rate of 30%, the letter states that overflowing products – which are re -exported to other countries – will be subject to even larger tariffs and claimed the opening of European markets for the US.
Countries reverbe
The Italian Prime Minister’s office, Giorgia Meloni, said the country supports the European Commission’s efforts, which should be intensified in the next few days. Rome reiterated that it is “fundamental to focus on negotiations” and avoid polarization to reach a bilateral agreement.
“The European Commission can count on our full support,” said Dutch Prime Minister Dick Schoof. According to the country, the tariffs imposed by the US are “worrying” and that the taxation is the way to follow.
EU and Indonesia
Faced with the escalation in the tariff war, the European Union and Indonesia closed a political agreement to advance free trade. Ursula von der Leyen said negotiations will create more Economic opportunities for agriculture and the automotive sector, for example.
Beatriz Hadler under supervision of Beatriz Ferrete.
