"A Deal Is a Deal": Von der Leyen Hits Back at Trump's Auto Tariff Threat

Von der Leyen: "Preparing for All Scenarios"

Individual European Countries, Including France, Also Voice Support

Close Attention to Use of Anti-Coercion Instruments such as the ACI

Ursula von der Leyen, President of the European Commission, warned on the 5th (local time) that the United States must abide by the terms of the trade agreement it made with Europe. This marks her first official statement since U.S. President Donald Trump announced last week the imposition of a 25% tariff on European automobiles.

"The Essence of the Agreement Is Prosperity, Common Rules, and Trust"

Ursula von der Leyen, President of the European Commission, held a press conference in Brussels, Belgium, on the 13th of last month (local time). Photo by Reuters Yonhap News

According to the political media outlet Politico, President von der Leyen made these remarks at a press conference regarding the EU-Armenia summit. She stated, "A deal is a deal," and emphasized, "We have an agreement, and the essence of the agreement is prosperity, common rules, and trust."

Previously, on the 1st, the Trump administration announced that, due to Europe's alleged non-compliance with the trade agreement, tariffs on EU-made cars and trucks would be raised from the existing 15% to 25%. This effectively nullified the previous tariff reduction on European vehicles (to 15%) that was implemented following the trade agreement reached by the two countries in Turnberry, Scotland in July of last year.

President von der Leyen pointed out, "The EU is now at the final stage of implementing the remaining tariff commitments." She also noted in reference to the United States, "There are aspects that do not align with the originally agreed (tariff) cap."

She further indicated that "the EU is preparing for all scenarios," suggesting that various response measures are under consideration. However, she refrained from specifying how the EU would respond if the new U.S. tariffs actually take effect.

Background of U.S. Discontent with Europe

On the 20th of last month, Jamie Greer, United States Trade Representative (USTR). Photo by Reuters Yonhap News

The initial delay in the European Parliament's approval of the trade agreement was largely attributed to public sentiment within Europe that last August's agreement was unfavorable to Europe, as well as President Trump's additional tariff threats stemming from the Denmark-Greenland dispute.

The addition of measures to protect European interests within the trade agreement is also presumed to have fueled U.S. dissatisfaction. It was only in March that the European Parliament conditionally approved the agreement with the United States, adding revised clauses to protect European interests, such as allowing the agreement to be suspended if the U.S. fails to comply. Given the nature of the EU, final ratification still requires agreement among all 27 member states.

Jamie Gruer, Representative of the United States Trade Representative (USTR), appeared on U.S. business channel CNBC the previous day and described the EU's approval process for the agreement as "very sluggish" and commented that "amendments have been introduced to restrict the agreement." He also stated, "If Europe does not implement the agreement immediately, we see no reason to fulfill all our obligations for now."

In contrast, the European Commission maintains that it is fully committed to the agreement. On the 4th, EU spokesperson Thomas Renier responded, "We (Europe) have implemented the joint statement from day one and are fully dedicated to honoring the commitments we made."

Individual Countries, Including France, Support the Commission's Response

French President Emmanuel Macron speaks at an event held in Armenia on the 5th (local time). Photo by AFP

The EU's response has been supported by its member states. French President Emmanuel Macron, at a separate press conference with the Armenian Prime Minister, said, "The agreement has been reached and must be honored. If it is called into question, then everything will be up for negotiation again." He added, "The EU has means to respond to tariff threats, and these means should be used. That is precisely why they exist."

President Macron also stated that options are "on the table," but stressed that close allies such as Brussels (Europe) and Washington (the United States) "can do much better than exchanging threats that risk creating instability."

The countermeasures mentioned by President Macron are believed to refer to the Anti-Coercion Instrument (ACI). According to France24, this is a trade tool introduced by the EU in 2023 as a "counter-coercion measure." It has never been put to practical use. Its aim is to respond to countries that use trade measures to pressure EU member states. Some have even compared it to a "bazooka," the media outlet reported. President Macron had previously argued for the use of the ACI early this year when President Trump advocated for the annexation of Greenland.

Antonio Costa, President of the European Council and former Prime Minister of Portugal, also stated that EU leaders "fully support" the European Commission's response to U.S. tariff threats.

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