Major Trade Partners Strike Back Against Trump’s Tariffs

BRUSSELS (AP) — Major trade partners quickly retaliated against President Donald Trump’s recently increased tariffs on aluminum and steel imports, enforcing significant new taxes on a variety of U.S. products. Canada, the largest supplier of steel and aluminum to the U.S., announced on Wednesday it will impose 25% reciprocal tariffs on steel products, along with increased taxes on a broad range of items including tools, computers, and sporting goods.

The European Union also made its move, raising tariffs on American beef, poultry, bourbon, motorcycles, peanut butter, and jeans. These tariffs are part of a broader response that targets products from Republican-held states, including beef and poultry from Kansas and Nebraska, and wood products from Alabama and Georgia. The total impact of these new tariffs could reach billions of dollars, escalating uncertainty in major trade relationships.

European Commission President Ursula von der Leyen responded to the tariff battle, stating, “Tariffs are taxes. They are bad for business and even worse for consumers.” She highlighted the negative consequences for both economies, predicting price hikes and potential job losses. The new tariffs are expected to begin affecting U.S. exports as soon as April 1.

President Trump, during the announcement of the increased tariffs, emphasized that the new measures would facilitate the creation of U.S. factory jobs. However, experts have expressed concerns that the see-saw nature of U.S. tariff policies may destabilize the stock market and contribute to fears of an economic downturn.

On Capitol Hill, Canadian officials reiterated their commitment to negotiating a more comprehensive trade agreement. Canada’s foreign minister said that Prime Minister Justin Trudeau is prepared to meet with Trump but urged respect for Canadian sovereignty in trade discussions.

Additionally, the American Chamber of Commerce to the EU weighed in, cautioning that both the U.S. tariffs and EU countermeasures could damage job prospects across the Atlantic. “The two sides must de-escalate and find a negotiated outcome urgently,” the chamber declared.

As the EU prepares to implement differentiated tariffs—first reinstating those in effect from 2018 to 2020, then targeting an additional $19.6 billion in U.S. exports on April 13—the pressure for diplomatic resolution grows. EU Trade Commissioner Maroš Šefčovič has previously engaged U.S. officials in an attempt to preempt these tariffs, emphasizing the need for collaboration.

This escalating trade conflict echoes previous tensions during Trump’s tenure, when retaliatory tariffs on U.S. goods in 2018 sparked a series of trade disputes. The current situation once again places significant strain on transatlantic relations and the global trade landscape.