EU pauses counter-tariffs for 90 days after US U-turn

The European Union (EU) has announced a temporary pause on its planned retaliatory tariffs against the United States, granting a 90-day window to facilitate negotiations.  

“We want to give negotiations a chance,” EU Commission President Ursula von der Leyen wrote on X (formerly Twitter) on Thursday. 

Her statement followed President Donald Trump’s recent decision to postpone the implementation of massive tariffs on EU goods for 90 days.  

While finalising the adoption of the EU’s countermeasures, which received strong backing from 26 of the 27 EU member states (excluding Hungary), von der Leyen stated that the bloc would suspend the planned tariffs temporarily.  

“While finalising the adoption of the EU countermeasures that saw strong support from our Member States, we will put them on hold for 90 days,” she said. “If negotiations are not satisfactory, our countermeasures will kick in.”  

This decision came just hours after President Trump announced his administration’s 90-day pause on implementing punitive tariffs, signalling a potential shift in US-EU trade relations.  

Under the European Commission’s original plans, the retaliatory measures were set to roll out in three phases:  

- Phase 1: Starting April 15, €3.9 billion ($4.3 billion) worth of US goods exported to the EU would have been impacted.  

- Phase 2: On May 15, an additional €13.5 billion ($14.9 billion) of U.S. goods was scheduled to face tariffs.  

- Phase 3: From December 1, a further €3.5 billion ($3.8 billion) in goods would have been affected.  

These tariffs were designed as a response to the 25% import taxes imposed by President Trump on steel and aluminium imports, which came into effect in mid-March. The US tariffs applied globally, including to the EU, prompting widespread criticism and calls for retaliation.

Source: AFP, CNN