The European Commission has hit out at President Donald Trump's proposed "reciprocal” trade policy, viewing it as “a step in the wrong direction”.
“The EU remains committed to an open and predictable global trading system that benefits all partners,” the Commission said in a statement on Friday.
“The EU maintains some of the lowest tariffs in the world and sees no justification for increased US tariffs on its exports. Tariffs are taxes. 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 organisation points out that world trade has flourished under predictable, transparent rules and low tariffs.” For decades, the EU has worked with trading partners like the US 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.
“The EU thrives as one of the world's most open economies, with over 70% of imports entering at zero tariff. The EU's average applied tariff on imported goods remains among the lowest globally. Economic integration and the removal of trade barriers have been fundamental to the European Union's success.
“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 says the EU will react firmly and immediately against unjustified barriers to free and fair trade, including when tariffs are used to challenge legal and non-discriminatory policies. “The EU will always protect European businesses, workers, and consumers from unjustified tariff measures.”
