Proposed US reciprocal trade policy a step in 'wrong direction': EU

The EU maintains some of the lowest tariffs in the world and sees no justification for increased US tariffs on its exports.

“By imposing tariffs, the US is taxing its own citizens, raising costs for business, stifling growth and fuelling inflation. Tariffs heighten economic uncertainty and disrupt the efficiency and integration of global markets,” the Commission said in a release.

For decades, the EU has worked with trading partners like the United States to reduce tariffs and other trade barriers worldwide, reinforcing this openness through binding commitments in the rules-based trading system—commitments that the US is now ‘undermining’, it noted.

The EU thrives as one of the world's most open economies, with over 70 per cent of imports entering at zero tariff. The EU's average applied tariff on imported goods remains among the lowest globally.

“We believe in trade partnerships that are mutually beneficial and balanced, grounded in transparency and fairness. That is also why the EU has the largest and fastest growing network of trade agreements in the world. The EU has negotiated and concluded over three times as many trade agreements as the US,” the Commission added, saying the EU will always protect European businesses, workers and consumers from unjustified tariff measures. 

ALCHEMPro News Desk (DS)