The European Union seems satisfied with the temporary halving of tariffs from the US, pleased that its slow countermeasure and dialogue strategy avoided an escalation.
When US President Donald Trump decided to halve its tariffs for 90 days to a general 10%, there were signs of visible relief in Europe. The bloc was slapped with a general 20% tariff. To appease the situation, the EU froze its planned tariffs on American exports that were supposed to go into effect on April 15. The measure wasn’t even a response to the last worldwide tariff hike that Trump imposed last week but to earlier ones on cars, steel, and aluminium – all of those are still in place at 25%.
However, the move showed that the European Commission was willing to negotiate, as Commission President Ursula von der Leyen said in a statement: “We want to give negotiations a chance.”
Echoes of her views went all around Brussels, with EU officials satisfied with the current outcome but wary about the unpredictability of Trump. Von der Leyen also said, “Clear, predictable conditions are essential for trade and supply chains to function.”
With tariffs passing through a slow process, the EU’s calm approach seems a vindication against those seeking quick and harsh reprisals against Trump’s volatile tariffs.
“Focus on negotiations whilst applying pressure to get there,” said an anonymous EU source to Reuters about the strategy. The EU trade commissioner Maroš Šefčovič was on the phone with his US counterpart Howard Lutnick just hours before Trump decided to halt tariffs, a move that was not coordinated with most of his staff.
However, despite the temporary success, officials remain concerned about Trump’s volatility. Officials from the White House mentioned the possibility of new targeted tariffs on pharmaceuticals and lumber in Europe. European governments are still worried about the escalating trade tariffs between the US and China, who chose quick retaliation. This unpredictability spills over to businesses, who are unsure what to do with investments and shipments.
