EU Proposes Countermeasures Against U.S. Tariffs Amidst Trade Tensions

The European Commission proposed countermeasures on $107.2 billion of U.S. imports if negotiations fail to overcome tariffs imposed by President Trump. Measures include targeting U.S. products like wine and machinery. EU seeks a negotiated resolution but prepares for retaliation if necessary, with consultations open until June 10.

The European Commission has announced potential countermeasures targeting $107.2 billion in U.S. imports, should ongoing negotiations fail to resolve President Trump's imposed tariffs. These measures, aimed at U.S. products including wine, machinery, and cars, serve as a stringent response to U.S. import taxes and 'reciprocal' tariffs.

Seeking to avoid a tariff escalation, the Commission is holding a public consultation allowing businesses and EU members to voice feedback on the proposals until June 10. Ursula von der Leyen, Commission President, emphasized the EU's commitment to negotiated outcomes, though preparations for retaliatory actions are ongoing.

The announcement came as President Trump revealed a trade deal with Britain, shortly after imposing 25% tariffs on EU steel and reciprocal levies on additional goods. The EU, intent on proportional response, has excluded pharmaceuticals and semiconductors from its lists, while exploring further options.

(With inputs from agencies.)