EU to impose duties on US imports Friday

The EU will begin charging import duties of 25 percent on a range of US products on Friday, in response to US tariffs imposed on EU steel and aluminium early this month, the European Commission said on Wednesday.

The move confirms a tit-fortat dispute that could escalate into a full trade war, particularly if US President Donald Trump carries out his threat to penalize European cars.

The commission formally adopted a law putting in place the duties on 2.8 billion euros ($3.2 billion) worth of US goods, including steel and aluminium products, farm produce such as sweetcorn and peanuts, bourbon, jeans and motor-bikes.

“We do not want to be in this position,” EU Trade Commissioner Cecilia Malmstrom said in a statement, adding that the “unilateral and unjustified” US decision had left the EU with no choice.

She called the EU response proportionate and in line with World Trade Organization rules and said that they would be removed if Washington removed its metal tariffs. EU steel and aluminium exports now facing US tariffs are worth a total of 6.4 billion euros.

Donald Trump hit the EU, Canada and Mexico with tariffs of 25 percent on steel and 10 percent on aluminium at the start of June, ending exemptions that had been in place since March.

Canada has announced it will impose retaliatory tariffs on C16.6 billion ($12.5 billion) worth of US exports from July 1. Mexico put tariffs on American products ranging from steel to pork and bourbon two weeks ago.