S products from textiles and water heaters to beef and bourbon. Canada, the largest supplier of steel and aluminum to the U. Across the Atlantic, the European Union will raise tariffs on American beef, poultry, bourbon and motorcycles, bourbon, peanut butter and jeans. Combined, the new tariffs will cost companies billions of dollars, and further escalate the uncertainty in two of the world's major trade partnerships. Companies will either take the losses and earn fewer profits, or, more likely, pass costs along to consumers in the form of higher prices.
Tariffs are taxes. They are bad for business, and even worse for consumers," von der Leyen said. The EU duties aim for pressure points in the U. EU officials have made clear that the tariffs โ taxes on imports โ are aimed at products made in Republican-held states, such as beef and poultry from Kansas and Nebraska and wood products from Alabama and Georgia. The tariffs will also hit blue states such as Illinois, the No. Spirits producers have become collateral damage in the dispute over steel and aluminum.
The EU is a major destination for U. Could there be an agreement that takes increasing tariffs off the table? That is possible.
Trump slapped similar tariffs on EU steel and aluminum during his first term in office, which enraged European and other allies. The EU also imposed countermeasures in retaliation at the time, raising tariffs on U. This time, the EU action will involve two steps.
First on April 1, the commission will reimpose taxes that were in effect from and , but which were suspended under the Biden administration. Commerce Secretary Howard Lutnick and other top trade officials. Canada is imposing, as of a. The list of additional products affected by counter-tariffs includes tools, computers and servers, display monitors, water heaters, sport equipment, and cast-iron products. The EU could lose up to 3. The U. While the bloc has a substantial export surplus in goods, it says that is partly offset by the U.
