Donald Trump Triggers Trade War as EU Threatens ‘Firm and Proportionate’ Retaliation to US Steel Tariffs

Donald Trump has reignited a trade dispute by imposing new tariffs on steel and aluminum imports, drawing sharp criticism from the European Union.

European Commission President Ursula von der Leyen condemned the decision, promising that the EU would respond with “firm and proportionate” measures. She described the tariffs as unjustified and emphasized that the EU would not let them go unanswered.

European Union Trade Commissioner Maros Sefcovic also criticized Trump’s decision, warning that it would drive inflation and harm U.S. consumers. Calling the tariffs a “lose-lose” situation, he reaffirmed the EU’s commitment to finding a mutually beneficial resolution with the United States as soon as possible.

Trump announced the new tariffs on Monday, February 10, raising duties on steel and aluminum imports to a uniform 25% without exceptions.

The tariffs will apply to imports from previously exempt countries, including Canada, Brazil, Mexico, and South Korea. While the move aims to support struggling U.S. industries, it risks escalating tensions and triggering a broader trade conflict.

Set to take effect on March 4, the tariffs come alongside Trump’s plans for reciprocal duties on nations that impose tariffs on U.S. goods. He also hinted at potential tariffs on other sectors, including cars, semiconductors, and pharmaceuticals.

Despite growing backlash, Trump remained defiant, saying, “I don’t mind” in response to retaliation threats. U.S. data shows a decline in domestic aluminum production, making the country increasingly dependent on imports.

Steel imports accounted for roughly 23% of U.S. steel consumption in 2023, with Canada, Brazil, and Mexico among the top suppliers.

Previously, Trump had threatened tariffs on Canada and Mexico over border security concerns but postponed them following concessions. Meanwhile, existing tariffs on Chinese imports have already led to retaliatory measures from Beijing, further straining global trade relations.