EU introduces tariffs on €2.8 billion worth of US goods

The European Union has introduced tariffs on €2.8 billion worth of US goods.

The retaliatory tariffs went into force on Friday and take the form of an increase in duty of 10%, 25%, 35% and 50% on selected products originating in the United States.

The new tariffs affect American products such as orange juice, bourbon whiskey, motorcycles, sweetcorn, and peanut butter. The EU released a communication with a full list of US products hit by the new tariffs.

In March, the US said it would introduce tariffs of 25% on steel and 10% on aluminium. Trump argued that a global oversupply of the metals threatens steel and aluminium producers in the US.

European Commission President Jean-Claude Juncker said the tariffs the US imposed on the EU go against “all logic and history”.

Speaking to the Irish parliament in Dublin he said that “we will do what we have to do to rebalance and safeguard” the EU.

Canada retaliated by imposing tariffs on C$16.6bn worth of US exports from 1 July, while Mexico slapped tariffs on $3 billion worth of US goods a couple of weeks ago. India has said it will retaliate by raising duties on 29 US products.

After the EU announced tariffs on US goods, US President Donald Trump threatened to impose a 20% tariff on all US imports of cars assembled in the EU.  

“If these Tariffs and Barriers are not soon broken down and removed, we will be placing a 20% Tariff on all of their cars coming into the U.S. Build them here!” Trump wrote on Twitter Friday.

The US Commerce Department has launched an investigation into whether imports of cars pose a risk for national security.