EU, China and Canada threaten US with retaliation: trade war reaches a new level
By ForGeeks After Donald Trump announced the imposition of new tariffs on U.S. imports, it didn’t take long for the international reaction to come. Representatives from the European Union, China and Canada have issued statements saying they are ready to impose retaliatory measures. The escalation of trade tensions could set off a chain reaction that threatens global economic stability.
What Happened
As part of a new tariff policy, the U.S. president announced the imposition of 10 percent base tariff on a wide range of imported goods. At the same time, the rates will be increased by an additional 20 percent on goods from China, the EU and several other regions. Trump himself called the move “a day of liberation for the American economy.”
The new tariffs will go into effect as early as next week. The Trump administration’s press office has so far refrained from making official comments about the sharp international reaction.
The Trump administration has so far refrained from making official comments about the sharp international reaction.
EU: first package of retaliatory sanctions being prepared
European Commission Ursula von der Leyen announced the preparation of a package of measures in response to US actions. Speaking during a visit to Samarkand (Uzbekistan), she emphasized:
“We are already finalizing the first package of countermeasures in response to the steel tariffs. And we are now preparing additional steps to protect EU interests and businesses if the negotiations fail to produce a result.”
Von der Leyen also sharply characterized U.S. actions as chaotic and destabilizing:
“There is no order in this mess. There is no clear path in the economic instability that has been created.”
China: a tough response will be immediate
China’s Ministry of Commerce also issued an official statement, which was released by state media. It emphasized that Beijing is ready to take immediate measures to protect national interests. The nature of the retaliation has not been disclosed yet, but China has previously resorted to mirror tariffs and restrictions on imports from the U.S..
Canada: «We will fight»
Canada’s Prime Minister Mark Carney says the country is ready to defend its economy:
“We intend to fight these tariffs, and we already have a response package ready to go.”
This includes a response to the 25 percent duties that the U.S. is about to impose on Canadian and Mexican goods, unless border control rules are tightened under the terms of the USMCA (the new North American trade agreement).
And the U.S. is going to impose 25 percent duties on Canadian and Mexican goods.
