EU suspends counter-tariffs for 90 days after US U-turn

BRUSSELS: EU chief Ursula von der Leyen said Thursday the bloc will put planned tariffs on US goods on hold “to give negotiations a chance” after President Donald Trump’s U-turn on massive duties.

The 27-nation bloc on Wednesday greenlit its first measures targeting US products, in retaliation for duties on steel and aluminium exports. It had yet to announce a response to Trump’s universal tariffs — now paused for 90 days.

“While finalising the adoption of the EU countermeasures that saw strong support from our member states, we will put them on hold for 90 days,” the European Commission president said in a statement.

“If negotiations are not satisfactory, our countermeasures will kick in.”

The EU measures approved Wednesday target more than 20 billion euros’ worth of US products, including soybeans, motorcycles and beauty products.

The bloc is still working on its response to Trump’s universal tariffs — which hit the EU at a rate of 20 percent — and the ones imposed on the auto sector, and von der Leyen stressed that “preparatory work on further countermeasures continues”.

“All options remain on the table,” she said.

Brussels has made it clear however it would prefer to avoid retaliation.

In an earlier statement, the commission chief welcomed Trump’s decision to pause his planned tariffs as an “important step towards stabilising the global economy”.

She said the EU “remains committed to constructive negotiations with the United States,” and reiterated the bloc’s offer of a bilateral tariff exemption for cars and other industrial goods.