Donald Trump imposed sweeping tariffs on all imported goods entering the US in a move that most economists believe will drive prices higher for American consumers
The top boss of the European Union (EU) has hit out at Donald Trump’s “pathetic” jibe after he issued sweeping tariffs on the trading bloc.
European Commission President Ursula von der Leyen lashed out at Mr Trump’s 20 per cent tariffs on goods from the bloc and said member states were “prepared to respond.” Mr Trump said on Wednesday that import taxes would be levied on goods entering the US to address what he claimed were trade imbalances and bring back manufacturing jobs to the country.
The Republican’s tariffs represent the biggest pivot back toward protectionist economics in the US since the end of the Great Depression. Economic analysts have been stunned by the move and have predicted economic downturns across the globe with prices expected to soar should the tariffs remain in place.
Ms Von der Leyen said the tariffs would have a huge impact on European consumers and damage the world’s largest single market. She added moves would need to be taken to defend the bloc against major disruptions in global trade.
“There seems to be no order in the disorder,” she said in a statement. “No clear path through the complexity and chaos that is being created, as all US trading partners will be hit.” Ms Von der Leyen said the bloc was ready to issue countermeasures against Mr Trump’s tariff barrage, Politico reported. She also said the EU would protect industries most vulnerable to the tariffs.
She said: “we are already finalising the first package of countermeasures in response to tariffs on steel, and we are now preparing for further countermeasures to protect our interests and our businesses if negotiations fail. We will also be watching closely what indirect effects these tariffs could have. Because we cannot absorb global overcut capacity, nor will we accept dumping on our markets.”
Mr Trump’s tariffs risked upending global trade, Ms von der Leyen said. “The costs of doing business with the United States will drastically increase.”
The Republican leader has often hit out against the EU, branding it a trading bloc that has actively ripped off American consumers. Speaking on Wednesday, Mr Trump said: “Now we’re going to charge the European Union. They’re very tough. Very, very tough traders. You know, you think of the European Union, very friendly. They rip us off. It’s so sad to see. It’s so pathetic.”
Mr Trump declared it was a national emergency to impose 10 per cent tariffs on all countries. But he has since announced higher import taxes on several countries that he views as being the worst trade offenders.
Countries that face higher import taxes include China, Vietnam, Taiwan, Japan, India, South Korea, Switzerland and Thailand to name a few.
