Trade conflict with the US: EU announces counter-tariffs
The EU Commission has reacted swiftly to US tariffs of 25 percent on imports of steel and aluminium from Europe, announcing plans to impose tariffs on US goods worth 26 billion euros as of 1 April. As an initial step, imports of typical US products such as bourbon whiskey, jeans, motorbikes, boats and peanut butter are to become more expensive, with other product groups to follow, in consultation with EU member states.
Hit US services with tariffs next
Handelsblatt looks at what could be coming in the tariff war:
“The next blow from Washington has already been announced. Trump wants to impose further tariffs on EU products - including cars this time. The volume is so great that it will be virtually impossible to impose classic counter-tariffs without damaging EU companies. A new strategy is therefore under consideration in Brussels: measures against US services. This would be a smart move because the EU is by far the most important market for US exports - not just goods, but also services. And this would be particularly painful for Trump's pro-business buddies: the big US tech companies that are dependent on Europe as a key market.”
Economic reality working against Trump
De Morgen sees parallels with the Great Depression of the 1930s - and the chance to avoid a similar scenario:
“History doesn't have to repeat itself. When the catastrophic impact of Trump's policies becomes clear, particularly on the bank accounts of his powerful sponsors, the pressure to change course will be huge. Economic reality will become the biggest political opposition to the Trump administration. ... But first, things must get much worse, and many people in all walks of life must lose a lot of prosperity. And the same goes for Europe. ... Nevertheless there is room for cautious hope. Our political leaders have been shaken up. Not a moment too soon, and hopefully not too late either.”
Strike back with green protectionism
The EU needs a new economic strategy, demands Socialist MEP Jean-Marc Germain in a guest commentary in Libération:
“The EU must rethink its trade policy. ... This implies the repatriation of as production as possible and a decarbonised re-industrialisation of the continent. The time has come to reorganise global trade flows! ... Let's turn a bad thing - Trump's reckless decisions - into a good thing: let's prioritise Made in Europe and Buy European here in Europe, the world's second largest market, in order to expand our green industry, create jobs and guarantee our security and social model.”