The European Union has delayed until mid-April the introduction of retaliatory trade measures to the Trump administration's increase in tariffs on all steel and aluminum imports to 25%, senior sources said on Thursday.
The EU planned to impose measures on US goods worth around €26bn (£21.5bn) in two stages – on 1 and 13 April.
The tariffs would apply to steel and aluminum products, as well as U.S. beef, poultry, bourbon, motorcycles, peanut butter and jeans.
However, US President Donald Trump is also set to impose “retaliatory” tariffs, increasing US duties to the levels of taxes other countries apply to imports “to achieve fairness.”
These reciprocal tariffs are expected to be announced on April 2.
“I can confirm that we have decided to adjust the timing of the tariffs,” said European Commission President Ursula von der Leyen.
The EU's executive branch manages trade negotiations and disputes on behalf of the bloc's 27 member countries.
Ms von der Leyen said that given the delay, the commission's goal was to “achieve the right balance of products that reflects the interests of our producers, exporters, consumers and, of course, minimise the potential negative impact on our economy.”
EU Trade Commissioner Maroš Šefčovič, who has been leading talks with US officials in an attempt to avert a tariff war, warned lawmakers earlier on Thursday that “the situation is extremely volatile and unpredictable.”
Mr Šefčovič noted that delaying the introduction of measures would allow the EU to better understand the potential impact of Trump's retaliatory tariffs and determine how to most effectively respond to them.
“It will also give us additional time to negotiate with our American partners to try to find a mutually acceptable solution, which would obviously be preferable for us,” he added.
Ms von der Leyen confirmed that the world's largest trading bloc “is against tariffs”.
“We think tariffs are bad. They are like taxes. They have a negative impact on consumers and businesses on both sides of the Atlantic, no doubt about it.”
Sourse: breakingnews.ie
