EU countries set to approve first retaliation against US tariffs

The European Union countries are expected to approve their first countermeasures against tariffs imposed by US President Donald Trump, aligning with China and Canada in retaliating against the US. This move could potentially escalate into a global trade war.

The approval coincides with the implementation of Trump’s "reciprocal" tariffs on the EU and several other countries. Trump's tariffs include a substantial 104 percent duty on Chinese imports, which has intensified trade tensions.

The EU, which faces import tariffs of 25 percent on steel, aluminum and automobiles, and 20 percent for other goods under Trump’s aggressive trade policy, is proposing to impose additional duties, predominantly at 25 percent, on various US imports. These products range from motorcycles to poultry and dental floss, with an estimated total value of €21 billion ($23 billion) last year.

These retaliatory measures will be phased in starting April 15, followed by further implementation in May and December.

A decision is expected after a committee of trade experts from the EU’s 27 states votes on the proposal. The proposal will only be blocked if a "qualified majority" of 15 member states, representing 65% of the EU population, oppose it. However, non-opposition is anticipated as changes have already been made based on member states' feedback.

Before taking these steps, the EU refined an initial list excluding US dairy and alcoholic drinks, after countries such as France and Italy raised concerns amid US threats of reciprocal tariffs on EU wine and spirits.

The escalating trade conflict follows Trump’s response to Beijing’s countermeasures against US goods by nearly doubling tariffs on Chinese imports, with China vowing to "fight to the end."