4 hours ago
Last Updated:March 13, 2025, 09:14 IST
Donald Trump said he would impose additional penalties if the EU continues with its counter tariffs plan on some US goods next month.
US President Donald Trump (Reuters File)
US President Donald Trump on Wednesday threatened to escalate a global trade war with further tariffs on European Union goods, as major trading partners said they would retaliate for trade barriers.
Just hours after the 25 percent duties imposed by Trump on all US steel and aluminum imports took effect, the US President said he would impose additional penalties if the EU continues with its counter tariffs plan on some US goods next month.
“Whatever they charge us, we’re charging them," Trump said at the White House.
Trump’s action came following Canada’s move of imposing a similar amount of tariff on US goods in response to broader tariffs by Trump. Notably, Canada is the biggest foreign supplier of steel and aluminum to the United States.
Meanwhile, UN Secretary General Antonio Guterres has warned against this tariff war and said that “all will lose" when countries get into such situations.
“I think we live in a global economy. Everything is interlinked. And obviously, one of the great advantages of having a situation of free trade is to create the conditions for all countries to benefit. When we enter into a trade war, I believe all will lose," Guterres said.
Canada Firm On Retalitory Tariffs
“We will not stand idly by while our iconic steel and aluminum industries are being unfairly targeted," Canada’s Finance Minister Dominic LeBlanc was quoted by Reuters.
Meanwhile, the 27 countries of the European Union are less exposed, as only a “small fraction" of targeted products are exported to the United States, reuters reported citing Germany’s Kiel Institute.
EU Retaliates Against Trump’s Tariffs
The European Commission has announced it would launch “swift and proportionate countermeasures" on US imports into the European Union in response to the tariffs imposed by the US on EU steel and aluminium imports.
The European Commission expressed regret over the US decision to impose US tariffs, calling them “unjustified, disruptive to transatlantic trade, and harmful to businesses and consumers, often resulting in higher prices."
The European Union will raise tariffs on American beef, poultry, bourbon and motorcycles, bourbon, peanut butter and jeans in response to President Donald Trump’s increased tariffs on aluminum and steel import.
Trump To Respond With Further Tariffs
Trump said he would respond with further tariffs if the EU followed through on its plan. With Irish Prime Minister Micheal Martin at his side, Trump criticised the EU member country for luring away US pharmaceutical companies.
Martin, in remarks delivered later at a White House ceremony, touted the history of free trade between the two nations. “Let us continue to build on that foundation," he said looking at Trump.
“Let us continue to work together to make sure that we maintain that mutually beneficial, two-way economic relationship that has allowed innovation and creativity and prosperity to thrive."
Location :Washington D.C., United States of America (USA)
First Published:March 13, 2025, 07:13 IST
News world Global Trade War On The Cards? Trump Threatens More Tariffs On EU & Canada, Draws Retaliation
