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The EU has agreed to impose retaliatory tariffs on €21bn (£18bn) of US goods, targeting farm produce and products from Republican states, in Europe’s first act of retaliation against Donald Trump’s tariffs.
The EU plans to introduce 25% tariffs on scores of goods from almonds to yachts, with the first duties being collected from 15 April, while the bulk apply from 15 May and the remainder from 1 December.
In a statement confirming the favourable vote by EU member states, the European Commission said: “The EU considers US tariffs unjustified and damaging, causing economic harm to both sides, as well as the global economy.”
The tariffs include US soya beans, grown abundantly in Louisiana, the home state of the House of Representatives speaker, Mike Johnson.
Ahead of the vote, analysis of the leaked list of customs codes by Politico found that EU duties would hit up to $13.5bn (£10.6bn) worth of exports from red states, including beef from Kansas and Nebraska, cigarettes from Florida and wood products from North Carolina, Georgia and Alabama.
The EU is facing calls to target US tech firms or banks in future retaliation, a potent but politically explosive target, as the US runs a €109bn (£94bn) trade surplus with the EU in service industries.
The outlook for negotiations is uncertain, amid questions over whether Trump’s goal is to create leverage over other countries – suggesting tariffs could be rolled back – or to raise revenues and reindustrialise the US, which points to their longevity.
Good thing I don’t like almonds. Too bad about my yatcht ambitions tho. Oh well, maybe I’ll switch to a helipoopter
May I recommend one of these European Yacht manufacturers? Or a Eurocopter?
I dunnoooóoo… American helipoopters are bigly the crashiest!
Good.
I mean they could go 250% on the yachts
25% on tech services is where you’ll see America panic.
How? Most multi-national companies are invoicing locally, or at least regionally.
But they still ‘import’ the provided service. I wonder if they can actually manage to get a company like netflix to pay import duties on foreign (read: us) made content, but if they find a way we’re talking about a serious amount of money.
It doesn’t work like that though. I (Netflix USA Ltd.) do hereby grant a license to you (Netflix Ireland Co.) for my complete catalog for $0/year. You’re not even charging people to watch my content, it comes free with their monthly subscription. If you want to advertise your service just buy some impressions from Facebook UK. All hosted by AWS in the EU.
I’m sure there must be some taxable services, I just can’t think of any examples, and I’m pretty sure it’s not the people that you’re thinking of.
Yea it’s a better position to try and take them on IP control.
I assume deals like this go out the window if they also mean Netflix Ireland can’t take Irish people to court for copyright infringement.
They could shoot a guy in the face who places an order for a yacht for all i care.
Good odds that guy is going to be an assistant or something.
Oh no! Anyhow, is there nothing coming from the US that startz with Z?
Zionism, but the EU doesn’t really need any more of that
All the US horse exporters are busily painting stripes on their animals right now.
All those US zebra exports…
Zinc?
Thank your local magats with a beat down
Stop fucking around and go for the tech
I think that one’s coming as retaliation to the flat 20% so in like a month or three.
I… I’m actually kind of surprised that American cigarettes are an export item. Surely to expats and pro-American Europeans who have lost all sense of taste and smell?
I always find it interesting how people become expats instead of immigrants just based on the fact that their country of origin is the US or the UK. Englishman in Spain? expat. US American in France? Expat. Pakistani in the UK? Immigrant. Mexican in the US? Immigrant.
Just depends on the perspective of the speaker.
If I live in the UK and my neighbour leaves the UK to go to Spain - Expatriate.
If I live in Spain and the same person arrives to be my neighbour - Immigrant…well, inmigrante.
EU retaliates by hurting its own citizens with higher import tax? This is just covid surcharges all over again.
Tell us about your plan
Give tax discounts on euro goods. Economy grows in Europe and still hurts the states by decreasing its imports.
Maybe I’m not really understanding what’s going on. But it seems everyone in the states and the rest of the world is pissed off by these tarrifs. So how is adding more tarrifs making the situation better? Can someone explain that to me? What am I missing?
I’m in Australia, so I’m not taking sides.
The reality is the seller bears part of the tariff so the consumer doesn’t pay the entire increase. That’s why tariffs have reciprocal tariffs in response. No one wants to admit it because it means Trump might be half right about something.
Tariffs increase prices but not necessarily by the same percentage as the tariff itself.