From the EU to Asia, revenge is promised

2025-04-03 08:02:00, Kosova & Bota CNA

Von der Leyen: Trump's tariffs are a blow to the global economy

After US President Donald Trump announced new tariffs, setting the EU at 20%, Brussels reacted sharply. European Commission President Ursula von der Leyen said it was a major blow to the global economy and the consequences "will be terrible for millions of people."

Food, transportation and medicine will cost more, she said, "and this is hurting, in particular, the most vulnerable citizens."

Von der Leyen acknowledged that the global trading system has "serious shortcomings" and said the EU was ready to negotiate with the US, but was also ready to respond with countermeasures.

Trump introduced the import taxes, which he calls "reciprocal tariffs" and range from 10% to 49%, in the simplest terms: the US, according to Trump, would do to its trading partners what he said they had done to the US for decades.

Italy's conservative Prime Minister Giorgia Meloni described the new 20% tariffs against the European Union as "wrong", saying they benefit neither side.

"We will do everything we can to work towards an agreement with the United States, with the aim of avoiding a trade war that would inevitably weaken the West in favor of other global players," Meloni said in a Facebook post.

The Brazilian government said it was considering taking the matter to the World Trade Organization. And later, in a rare show of unity, Brazil's Congress unanimously passed a reciprocity bill to allow its government to retaliate against any country or trading bloc that imposes tariffs on Brazilian goods.

Asian countries that are among the largest exporters to the US pledged to take swift action to support automakers and other businesses that could be affected.

South Korea's acting leader told officials to work with business groups to analyze the potential impact of the new 25% tariff to "minimize the damage," the trade ministry said.

China's Commerce Ministry said Beijing "will resolutely take countermeasures to safeguard its rights and interests," without saying exactly what it might do. China has responded to previous rounds of higher tariffs by imposing higher tariffs on U.S. agricultural exports, restricting exports of strategically important minerals used in high-tech industries such as electric vehicles.

Australian Prime Minister Anthony Albanese said the US tariffs imposed on his country were completely unjustified, but Australia will not retaliate.

“President Trump referred to reciprocal tariffs. A reciprocal tariff would be zero, not 10%,” Albanese said. The U.S. and Australia have a free trade agreement and the U.S. has a $2 to $1 trade surplus with Australia. “This is not an act of a friend.”

The 29% tariff imposed on the tiny outpost of Norfolk Island in the South Pacific came as a shock. The Australian territory has a population of about 2,000 people and its economy revolves around tourism.

New Zealand also rejected Trump's tariff logic. Spared for now from the latest round of tariffs were Mexico and Canada, on goods already eligible under their free trade agreement with the United States. However, previously announced tariffs of 25% on auto imports were scheduled to take effect at midnight.

Mexican President Claudia Sheinbaum will consider countermeasures.

"It's not a question of whether you put tariffs on me, I'll put tariffs on you. Our interest is in strengthening the Mexican economy," she said as Trump awaited the introduction of new tariffs.

Colombian President Gustavo Petro , who has clashed with Trump before, said via X that the tariffs marked a global historic moment: "Today neoliberalism that proclaimed free trade policies throughout the world is dead." Analysts say there is little to gain from an all-out trade war, either in the United States or elsewhere./ CNA