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The European Union postpones retaliation for steel tariffs for 90 days to "allow for negotiations" with Trump
Thursday, April 10, 2025 - 08:30
Foto Unsplash

The pause does not halt Brussels' work on preparing countermeasures in retaliation for indiscriminate tariffs, including those on automobiles and components.

The European Union is suspending for 90 days the entry into force of its first round of retaliatory measures against the tariffs the United States already imposes on European steel and aluminum to "give negotiations a chance" with Washington, after U.S. President Donald Trump announced a partial truce on Wednesday, postponing the indiscriminate 20% surcharges on all foreign imports for the same period.

"We take note of President Trump's announcement. We want to give negotiations a chance," said European Commission President Ursula von der Leyen in a brief statement released on social media. She also made it clear that if the negotiations "are not satisfactory," then the first round of countermeasures "will be implemented."

Brussels, which has exclusive jurisdiction over EU trade policy, received the green light from the 27 member states the day before to impose 25% tariffs on nearly €21 billion in US purchases starting next Tuesday, through a tariff plan with surcharges to be applied in three phases: April, May, and December.

Von der Leyen's announcement halts this entry into force but does not paralyze the preparation of countermeasures that Brussels is working on in retaliation for the indiscriminate tariffs—now suspended by the United States—nor those on automobiles and components—still in force.

"The preparatory work for further countermeasures continues. As I said before, all options remain on the table," said the German conservative, who in an initial reaction early this morning hailed the partial US truce as an "important step toward stabilizing the global economy," but insisted on the need for "clear and precise" rules for the proper functioning of international trade.

However, an EU spokesperson clarified that while this preparation is moving forward, the plan to present the details of the second set of tariffs under preparation next week has also been shelved. "The work continues, but we're certainly not going to announce or present anything once we've hit the pause button," the source argued.

CONSULTATIONS WITH GOVERNMENTS AND INDUSTRY

EU Trade spokesperson Olof Gill explained in a press conference that this gesture will also give EU services "space" to "analyze" and assess the new situation in consultations with Member States and industry before entering into negotiations with the United States. "We are willing to make agreements," he emphasized.

He also maintained that political contacts between Washington and Brussels are "constant" and reported that Trade Commissioner Maros Sefcovic spoke by phone two days ago with Commerce Secretary Howard Lutnick; although he noted that it was a conversation for each to take stock of their respective positions, without mentioning Trump's imminent announcement of the pause.

In this context, Sefcovic's spokesperson recalled that Brussels previously offered the White House a "zero-tariff" agreement for industrial products—including the automotive sector—and added that the EU believes it can achieve "all kinds of mutually beneficial outcomes that avoid the kind of tariffs that the EU considers harmful and counterproductive."

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