Tariff test for EU as Trump prepares to squeeze trade partners

finance
Created 11/12/2024
Updated 11/12/2024

The EU faces a critical decision as it considers reimposing tariffs on US goods in March 2025, following a temporary truce in a steel and aluminum trade dispute. Under Biden, the US replaced Trump-era tariffs (25% on steel and 10% on aluminum) with a quota system, which limits how much metal the EU can export to the US without paying extra fees. In return, the EU suspended its own retaliatory tariffs. However, with Trump’s return and threats of 10-20% tariffs on all EU imports, tensions have reignited. Talks over a "green steel club," meant to tackle carbon emissions and counter cheap Chinese steel, remain deadlocked as the EU and US clash over trade rules and carbon pricing.

Original Article


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