EU Halts Tariff Response After Trump Backs Off

Listen to this article Brussels: The EU has decided to delay its retaliatory tariffs against the United States for 90...
EU Halts Tariff Response After Trump Backs Off Pulse news network

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Brussels: The EU has decided to delay its retaliatory tariffs against the United States for 90 days.
EU Commission President Ursula von der Leyen announced the decision in a post shared on X.
She wrote the EU wants to give negotiations with Washington a genuine chance to succeed.
This announcement came after the US president suddenly paused certain tariffs placed on foreign countries.
The EU had just finalized its countermeasures when Trump declared his unexpected 90-day suspension.

Cautious Approach
Trump’s tariffs included measures on dozens of nations, citing reciprocal treatment and industry concerns.
The EU’s planned countermeasures targeted American tariffs on steel, aluminum, cars, and various other goods.
Von der Leyen warned that if talks do not succeed, the EU will activate its full retaliation.
The paused countermeasures will automatically resume if discussions yield no concrete outcomes.
Despite the pause, Trump left specific tariffs in place for multiple industries.

Remaining Tariffs
Tariffs on EU steel and aluminum remain at 25% despite the pause in reciprocal measures.
European car exports still face 25% duties under the US policy.
A 20% tariff on other goods also remains, although partially suspended.
Trump also imposed a flat 10% tariff on all imported products from every nation.
This universal tariff is not affected by the current 90-day suspension window.

Investor Concerns
Though Trump’s reversal eased immediate tensions, financial markets responded with caution.
Analysts worry the erratic nature of US trade policy could weaken economic confidence.
They fear global investment may fall due to ongoing trade uncertainty and sudden policy changes.
European officials stress the need for long-term clarity in cross-border commercial relations.
Von der Leyen emphasized that stable conditions are critical for global supply chains and businesses.

Negotiation Goals
The EU insists it remains open to fair and meaningful trade discussions with the United States.
Von der Leyen reaffirmed the bloc’s willingness to negotiate under constructive terms.
She added that Europe won’t hesitate to act if the US walks away from talks again.
EU leaders are also broadening economic links with countries beyond the US.
These alternative partnerships represent 87% of total global trade, according to von der Leyen.

Diversification Plans
European officials are prioritizing deals with Asia, South America, and key African economies.
They hope expanding trade partners will make the EU more resilient to US market shocks.
This strategy aims to reduce dependence on American imports and export destinations.
Experts believe diversifying trade will lessen the risks of sudden tariffs or policy shifts.
The EU says it is committed to keeping global trade open, fair, and balanced.

Policy Reactions
Trump’s unpredictable trade behavior has sparked debates in both economic and political circles.
Some economists warn that inconsistency in US policy could trigger longer-term global slowdowns.
Trump says tariffs are necessary to protect American industries and restore fair trade.
However, many leaders argue that protectionism threatens global cooperation and economic stability.
Von der Leyen insists the EU will protect its industries while remaining a free trade supporter.

Looking Ahead
The next few weeks will determine if US-EU trade talks can achieve any breakthroughs.
If no progress is made, retaliatory EU tariffs may hit various American exports.
Industries on both sides are closely watching developments to plan for potential disruptions.
European nations are urging the US to drop long-term tariffs and resume normal economic relations.
Until then, the EU maintains its readiness to respond firmly if necessary.

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