The European Union is considering imposing EUR 95 billion (USD 108 billion) in tariffs on US exports if no progress is made during trade talks with the Trump administration. The proposed retaliatory measures mainly target industrial goods like Boeing aircraft, US-made cars, and bourbon, which were previously excluded from a list.
The EU product list didn’t include tariff rates. The tariff rates and other related measures will be finalised only after further consultations with EU member states and stakeholders, which are set to continue until 10 June.
The European Commission has begun negotiations with the Trump administration this week. The talks will focus on lowering trade barriers and boosting American investments as possible solutions to Trump’s tariffs.
Talks have made little progress, and most US levies are expected to stay. This was echoed by the EU Economic Commissioner, Valdis Dombrovskis, who stated on 25 April 2025, that the US and the EU still have work to do to reach a deal that avoids tariffs on each other’s goods. The EU stated that Trump’s trade investigations could increase the bloc’s goods facing new duties to EUR 549 billion.
Despite recent developments, European Commission President Ursula von der Leyen reaffirmed the EU’s unwavering commitment to pursuing negotiated solutions with the US.
“We believe there are good deals to be made for the benefit of consumers and businesses on both sides of the Atlantic. At the same time, we continue preparing for all possibilities, and the consultation launched today will help guide us in this necessary work, ” she said in a statement.
EU targets US tariffs with fresh trade actions, WTO challenges
As a retaliatory measure to Trump’s unjustified tariffs on EU exports, the Commission is consulting stakeholders on restricting EU exports of steel scrap and chemicals to the US, worth EUR 4.4 billion.
The EU’s executive arm for trade is considering launching a case before the World Trade Organisation (WTO) against Washington’s 10% “reciprocal” tariffs on EU exports. Trump implemented an additional 25% tariff on cars and car parts, a move the EU claims “blatantly violates fundamental WTO rules.”
Trump’s tariffs have created havoc on the global trading system, disrupting global commerce and product flows. The EU said it will monitor for diverted goods, especially from China, and will continue pursuing trade deals with other countries.
China faces steep tariffs from the US as the country moves forward with imposing a combined 145% tariff on Chinese goods. This led China to effectively suspend its exports to the US, sparking concerns among EU officials that China might redirect those goods to flood European markets.
However, the Commission said the EU would act to protect its markets if Chinese goods posed a significant threat. The Commission already imposed duties of up to 66.7% on imports of Chinese construction lifts on 29 April 2025.
The EU also plans to add new counter-measures to the EUR 21 billion in US goods already hit by tariffs in response to Trump’s steel and aluminium duties. Implementation was delayed by 90 days after the US reduced tariffs on most EU exports from 20% to 10% during ongoing negotiations.
The EU said it may take further action if Trump imposes additional duties on other sectors, including pharmaceuticals, lumber, semiconductors, minerals, and trucks.
