Brussels, Feb 14 (Reuters) - The European Commission announced on Friday its intention to respond "firmly and immediately" to any tariff increases resulting from U.S. President Donald Trump's actions, which it has deemed unjustified and a step in the wrong direction.
Trump has directed his economics team to devise plans for tariffs against countries that impose tariffs on U.S. imports or apply taxes to U.S. companies. Potential targets include China, Japan, South Korea, and the European Union.
In a statement, the Commission, which oversees trade policy for the 27-nation European Union, stated, "The EU upholds some of the world's lowest tariffs and sees no grounds for heightened U.S. tariffs on its exports."
It highlighted that over 70% of imports to the EU enter the bloc without tariffs.
The Commission emphasized, "The EU will firmly and immediately respond to unwarranted trade barriers, particularly when tariffs are used to challenge legal and non-discriminatory policies."
European nations argue that their value-added taxes on imported goods, while often higher than those in the U.S., are distinct from tariffs as they are applied equally to domestic products.
A fact sheet from the White House raised concerns on EU tariffs on car imports at 10% versus the U.S. import duty of 2.5%, as well as EU constraints on U.S. shellfish imports.
It criticized the EU's value-added tax system as discriminatory and extraterritorial. Additionally, it took issue with regulatory requirements and digital services taxes on U.S. companies, such as France's 3% tax on revenues from digital platforms and advertising.
Commission President Ursula von der Leyen warned that unjustified tariffs would trigger "proportionate and decisive countermeasures." This mirrors her earlier commitment to respond resolutely to Trump's decision to impose tariffs on all steel and aluminum imports.
EU trade ministers opted on Wednesday to prioritize negotiations over retaliatory measures, given that the U.S. steel and aluminum tariffs will not take effect until March 12.
Looking ahead, the EU is prepared to negotiate but remains steadfast in its commitment to uphold its regulatory authority.
The Commission, without specifying future negotiations, indicated that discussions with the U.S. administration would intensify in the forthcoming weeks, positioning for potential negotiations and robust responses to any U.S. tariffs.