Biden Ends EU Tariff War Triggered by Trump

President Joe Biden of the United States [Photo by AP Yonhap News]

[Asia Economy Reporter Park Byung-hee] The Joe Biden administration in the United States appears to be aiming to end the tariff war with the European Union (EU) triggered by former President Donald Trump in 2018.

According to Bloomberg News on the 28th (local time), Gina Raimondo, U.S. Secretary of Commerce, called Valdis Dombrovskis, the EU Vice President in charge of trade, last week.

According to sources, Secretary Raimondo asked Vice President Dombrovskis what measures should be taken to avoid the EU's planned 50% tariff increase on U.S. products scheduled for June 1.

Former President Trump initiated a trade war in 2018 by imposing tariffs of 25% on imported steel and 10% on aluminum, citing threats to U.S. national security. At that time, countries like South Korea and Brazil avoided tariffs through negotiations, but the EU responded strongly by imposing retaliatory tariffs. In particular, tariffs were imposed on products produced in Republican strongholds in the U.S. The EU plans to raise tariffs on some U.S. products up to 50% starting June 1.

According to sources, during the call with Vice President Dombrovskis, Secretary Raimondo conveyed that the U.S. has not increased tariffs on EU steel and aluminum. Furthermore, the U.S. has no intention of further raising tariffs on EU steel and aluminum and even wishes to abolish tariffs altogether.

President Joe Biden has continuously emphasized the need to win the competition with China. The Biden administration’s position is to restore the alliance with the EU and jointly respond to China. Secretary Raimondo appeared on Bloomberg TV on the 28th and said, "Europeans are not happy," adding, "I had many discussions with Vice President Dombrovskis." She also emphasized, "The EU is our ally, and the European way does not threaten U.S. security."

An EU official stated that if both the U.S. and the EU agree, the tariff increase scheduled for June 1 could be postponed. However, regarding the suspension of additional tariff increases or tariff abolition, the EU will first wait for the U.S. proposal.

This content was produced with the assistance of AI translation services.