The European Union announced on Wednesday that it will introduce countermeasures in response to the recent US tariffs on steel and aluminium. The EU plans to impose duties on American goods worth 26 billion euros ($28.3 billion). This decision follows US President Donald Trump's move to implement a 25% tariff on steel and aluminium imports.

The EU criticised the tariffs in an official statement, describing them as unfair, harmful to trade between Europe and the US, and damaging to businesses and consumers in both regions. “Tariffs are taxes. They are bad for business and even worse for consumers. These tariffs are disrupting supply chains. They bring uncertainty to the economy. Jobs are at stake. Prices will go up—in Europe and in the United States,” European Commission President Ursula von der Leyen said. She also mentioned that although the EU is willing to negotiate, it will take strong measures to safeguard European industries.

On Wednesday, the US administration announced a 25% tariff on steel and aluminium imports from Europe, significantly increasing the duties imposed during President Trump's first term. Previously, the US had applied tariffs on $7 billion worth of metal exports from the EU, citing national security reasons.  Trump has announced new reciprocal tariffs that will take effect on April 2. These tariffs are aimed at European policies that the U.S. considers trade barriers. They will target the European Union's value-added tax and certain industries, including automobile manufacturing.

The European Union (EU) has outlined a two-step plan to respond to US tariffs. For instance, the EU will bring back tariffs that were earlier imposed in response to metal duties introduced during Donald Trump's presidency. These tariffs will target US products to match the economic losses the EU faced on its 8 billion euros worth of steel and aluminium exports. This will take effect on April 1, 2025. In addition to this, new tariffs will be finalised by mid-April to counter the latest US tariffs affecting over 18 billion euros of EU exports. Brussels is preparing a new set of retaliatory duties. This expanded package will be developed after discussions with EU Member States and industry representatives.

The trade dispute between the US and the EU over metals has been ongoing since 2018 when President Donald Trump imposed tariffs on steel and aluminium, citing national security concerns. In response, the EU targeted key American products such as motorcycles, jeans, and bourbon whiskey. While a temporary agreement was reached in 2021 under President Joe Biden, recent US actions have reignited tensions. Despite this, Brussels insists that negotiation is the best way forward. Trade Commissioner Maros Sefcovic has been assigned to restart talks with Washington to ease the situation.