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EU signals relief over new US tariffs as Trump respects transatlantic truce – POLITICO

By staffJuly 24, 20262 Mins Read
EU signals relief over new US tariffs as Trump respects transatlantic truce – POLITICO
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“The EU notes positively the fact that this outcome is in line with the U.S. tariff commitments agreed under the EU-U.S. Joint Statement,” said Olof Gill, deputy chief spokesperson for the European Commission. 

While Brussels cautiously welcomed these new tariffs, it is still conscious that more investigations — looking at alleged industrial overcapacity in Europe and pharmaceutical pricing policies — are under way, meaning cumulative duties could ultimately breach the 15 percent cap. Those probes are conducted under Section 301 of the U.S. Trade Act of 1974, a tool used by Washington to take action against unfair trade practices by other countries.

“Looking ahead, the EU expects the U.S. to continue abiding by the terms of the EU-U.S. Joint Statement, including as regards any remedies under additional Section 301 investigations,” Gill added. 

The new U.S. tariffs follow a five-month investigation into efforts to crack down on imports of goods made with forced labor — a measure specifically combating manufacturing from America’s trade rivals in Asia. 

The EU’s own forced labor regulation will only apply from Dec. 2027. This is the justification cited by the U.S. Trade Representative for applying a 10 percent tariff on goods coming from the bloc. 

The EU’s foreign affairs chief Kaja Kallas struck a less diplomatic note, pushing back against Washington’s reasoning to impose the tariffs. 

“We had a deal with America and we have kept to that deal, that side of the deal. That’s why this is a negative surprise that this agreement is not kept,” she told Reuters on the sidelines of a meeting with ASEAN countries in the Philippines. 

“If you compare our labor laws to the ones of the United States, I mean, we have paid vacations, we have very good labor conditions for our employees, so it’s not really grounded.” 

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