EU vows firm response if Trump unleashes tariffs

Shipping containers are seen at the Port of Montreal in Montreal, Canada, on February 2, 2025. Canada will hit back at US tariffs with 25 percent levies of its own on select American goods, Prime Minister Justin Trudeau said on February 1. “Canada will be responding to the US trade action with 25 percent tariffs against Can$155 billion ($106 billion) worth of American goods,” he said in a dramatic tone as he warned of a fracture in longstanding Canada-US ties. (Photo by ANDREJ IVANOV / AFP)

Brussels, Belgium — The European Union insisted Sunday it would retaliate “firmly” if US President Donald Trump hit it with tariffs, as Brussels decried his sweeping measures against Canada, Mexico and China.

Brussels until now has said it hopes to avoid a trade conflict with Trump through negotiation.

But on Friday the US leader doubled down by saying he “absolutely” planned to target the EU in future, after first slapping levies on his North American neighbors and China.

READ: Trump says tariff ‘pain’ will be ‘worth the price’

“The European Union regrets the US decision to impose tariffs on Canada, Mexico and China,” said a spokesman for the European Commission.

“Tariffs create unnecessary economic disruption and drive inflation. They are hurtful to all sides.”

The spokesman said “the EU would respond firmly to any trading partner that unfairly or arbitrarily imposes tariffs on EU goods”.

“At this time, we are not aware of any additional tariffs being imposed on EU products,” he added.

He said the 27-nation EU remained committed to low tariffs to “drive growth and economic stability within a strong, rules-based trading system”.

And he reiterated the EU’s commitment to its trade and investment relationship with the United States — “the biggest in the world”.

“There is a lot at stake,” said the spokesman. “We should both be looking at strengthening this relationship.”

READ: US tariffs: A blow to the world economy

Trump has not hidden his enmity for the EU, accusing it of treating the United States “very, very unfairly” on trade.

Tensions have also risen over his repeated insistence that he wants to take Greenland from EU member Denmark.

Back in 2018, during his first term, Trump imposed tariffs on European steel and aluminum exports — leading the EU to respond with its own higher duties.

As a result, Europe has been gaming out scenarios for months to ensure it is ready this time around, should he decide to unleash a new trade conflict with the bloc.

‘Not help anybody’

EU diplomats and officials insist they stand united and have the tools to respond to any Trump measures — but experts also point to likely cracks if he ups the pressure.

Economic powerhouse Germany — facing a fraught election this month and sluggish economy — has been squeamish over tariffs.

Trump is also likely to try to play the interests of the individual EU states off against each other.

Some European leaders have already been jostling to get closer to him, with Italy’s Giorgia Meloni leading the pack.

Italian Foreign Minister Antonio Tajani wrote Sunday that a “tariff war does not help anybody”, saying Italy has ideas to protect its companies and that Rome will be a mediator with Washington.

EU officials remain hopeful they can talk Trump out of pulling the tariff trigger.

European Commission chief Ursula von der Leyen back in November floated a potential plan to keep Trump on side: buying more liquefied natural gas from the United States.

That has been billed as a potential win-win by Brussels as it would help the bloc ditch supplies from Russia while also placating the US leader.

Trump himself has demanded the EU buy more US oil and gas — while also complaining the bloc does not import enough American cars and farm products.

EU leaders are expected to discuss the looming tariff threat from Trump in Brussels on Monday at a gathering intended to focus on defense issues.

American military might still underpins European security through NATO, and US allies nervously eyeing Russia fear that riling Trump could threaten Washington’s role protecting their continent.