EU Slaps Tariffs On $23 Billion Of US Goods In Response To Trump's Trade Barrage

The European Union approved tariffs targeting around 21 billion euros ($23.2 billion) of US goods in retaliation for the 25 percent tariffs President Donald Trump imposed on the bloc's steel and aluminum exports.

A majority of the EU's 27 member states on April 9 voted in favor of the surcharges, some of which will take effect on April 15.

The products facing tariffs include diamonds, agricultural products, poultry, and motorcycles, as well as soybeans, which are a popular export of Louisiana, the US state that is home to Trump loyalist and House Speaker Mike Johnson.

The European Commission, the bloc's executive arm, said in a statement that the countermeasures can be suspended at any time "should the US agree to a fair and balanced negotiated outcome."

What Do US Tariffs Mean For You?

The move adds to the growing transatlantic trade war, with the United States also applying a universal 20 percent tariff on nearly all European exports as well as a separate 25 percent tariff on cars and some auto parts.

Trump has said he'll announce additional tariffs on lumber, semiconductor chips and pharmaceutical products. In total, Trump's new tariffs target around 380 billion euros' worth of EU goods.

The second round of EU tariffs will take effect on May 15, while a third wave is slated for December 1. Most of the targeted goods face a 25 percent tariff level, with a few categories set to face 10 percent.

EU leaders have voiced differing views in recent days about whether to exclude some items such as bourbon and wine. France and Italy, keen to avoid US countermeasures on their wine exports, appear to have won this battle.

Trump had threatened a 200 percent tariff on EU alcoholic drinks if US bourbon was hit.

Also excluded from Brussels' plans are items the EU relies on such as aircraft and parts, semiconductors, and fuel.

A decision not to put tariffs on pharmaceuticals matches the US approach. However, Trump has said separate tariffs will be imposed on the sector.