The European Union has announced retaliatory measures against the United States in response to new tariffs on steel and aluminum imports imposed by Washington. European Commission President Ursula von der Leyen confirmed that the EU will target American exports with countermeasures affecting a range of industries, escalating tensions between the two economies.

Early Wednesday morning, the EU executive initiated a response package that will impact various American products, including boats, bourbon, and Harley-Davidson motorcycles. The decision follows the implementation of US tariffs, which took effect at midnight. Von der Leyen criticized the US move, warning that tariffs would increase prices, disrupt supply chains, and threaten jobs on both sides of the Atlantic.

The EU had previously condemned the tariffs when US President Donald Trump signed an executive order last month imposing a 25% duty on steel, aluminum, and related derivative products, affecting approximately €26 billion worth of EU exports. During Trump's first term, the EU responded to similar protectionist measures with €2.8 billion in duties on US goods.

The EU’s response will be executed in two phases. On April 1, existing 2018 and 2020 countermeasures will be reinstated, targeting American exports valued at around €8 billion. By mid-April, a new round of tariffs worth €18 billion will be introduced, bringing the total countermeasures to match the €26 billion impact of the US tariffs. These new measures will target industrial and consumer goods, including steel, aluminum, textiles, leather products, home appliances, tools, plastics, wood products, and agricultural commodities such as poultry, beef, seafood, nuts, dairy, sugar, and vegetables.

A two-week stakeholder consultation period, running until March 26, will allow businesses and trade representatives to offer input on the new tariff package before the final measures take effect. Once EU member states approve, the legal framework for enforcement is expected to be in place by mid-April.

Despite its firm stance, the European Commission remains open to negotiations. Von der Leyen has tasked EU Trade Commissioner Maroš Šefčovič with seeking a diplomatic resolution to avoid further economic strain. She emphasized that amid global uncertainty, neither side benefits from escalating trade barriers.

The latest developments revive long-standing disputes over steel and aluminum tariffs, which first surfaced in 2018 under the Trump administration. Although previous discussions had led to a suspension of retaliatory tariffs, Washington’s renewed protectionist policies have reignited tensions, prompting the EU to act.