The European Union is firing back at the Trump administration’s latest move to hike tariffs on steel and aluminum, with the bloc signaling it’s ready to escalate trade tensions. The EU Commission, in a statement released Saturday, called the US decision “detrimental,” saying it undermines efforts to resolve trade disputes through negotiation and is considering retaliatory measures.
The announcement followed President Trump’s Friday rally in Pennsylvania, where he declared plans to raise the tariffs on imported steel from 25% to 50%. He later reiterated the move on social media, confirming the increase would take effect June 4th. This move exacerbates uncertainty in the global economy, the EU Commission added. Existing EU countermeasures are slated to automatically kick in on July 14th, or potentially sooner if necessary.
“We regret that the United States is doubling tariffs on imported steel and aluminum, which will increase costs for consumers and businesses on both sides of the Atlantic,” a European Commission spokesperson said. “The EU is prepared to react.”
The head of the European Parliament’s International Trade Committee, Bernd Lange, echoed this sentiment. He emphasized the EU’s preference for resolving trade conflicts through dialogue, but made it clear that the bloc wouldn’t hesitate to respond in kind. Lange recently led a European Parliament trade delegation to Washington, meeting with US lawmakers and officials. “We have prepared for countermeasures against unjustified steel and aluminum tariffs,” Lange stated, “Should this happen as announced by Trump, we should immediately implement these countermeasures.”
The impact of the tariffs extends beyond just political posturing. US steel prices, currently at $984 per ton as of March 2025, are significantly higher than the $690 per ton seen in Europe, according to US Department of Commerce data, putting American manufacturers at a disadvantage.
Canada, along with the EU, could face particular economic strain. The Canadian Chamber of Commerce president and CEO Candyce Reynolds noted the tariffs would disrupt robust, competitive, cross-border steel and aluminum supply chains, causing significant pain to both nations. The United Steelworkers union, Canada’s largest private sector union, echoed these concerns, highlighting the potential for job losses. “Thousands of Canadian jobs are at risk, and communities that rely on steel and aluminum are in danger. The Canadian government needs to respond immediately and decisively to protect workers.”
The Trump administration’s tariff strategy faces headwinds even within its own jurisdiction. A US international trade court temporarily blocked almost all tariffs targeting specific countries last Wednesday, citing the president’s overreach. However, a federal appeals court swiftly reversed this decision, allowing the tariffs to proceed.
Despite the legal wrangling, the initial ruling created a major challenge for the Trump administration’s broader trade strategy, which had relied on the threat of high tariffs to gain leverage in negotiations and push trading partners towards new agreements.
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