FT has learned of the EU's consideration of measures against US IT companies in response to the duties
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- FT has learned of the EU's consideration of measures against US IT companies in response to the duties
The European Union (EU) is considering retaliatory measures against the largest US IT companies if US President Donald Trump decides to impose duties on the association. This was reported by The Financial Times on February 5.
Two unnamed European officials told the publication that the European Commission (EC) plans to use a mechanism that restricts trade in certain services in the EU in the event of the introduction of increased import tariffs by the United States. The tool was developed during Trump's first term and was used against China. Some EU officials refer to the mechanism as a "bazooka".
FT sources specified that this tool can also be used to block investments. At the same time, the EU has extensive experience in regulating tariffs on goods, but restrictions on services and intellectual property are a relatively new area for the association, so the EU may not dare to impose restrictions there. Nevertheless, if the EU applies this mechanism, it is capable of provoking a trade war with the US, according to the newspaper.
European Trade Commissioner Maroš Šefčovič, for his part, said that he would like to find a way to avoid tariffs, but in the case of US duties, the EU needs to respond.
"If we are hit, we will react harshly," Shefchovich said.
That said, some EU member states fear a trade war. FT notes that consultations on the introduction of retaliatory measures against the United States will take several weeks.
On the eve, February 4, Polish Prime Minister Donald Tusk said that Trump's words about the desire to impose duties on goods from the EU may be just political rhetoric, not a real threat. The head of the government noted that the association will work together and will respond to any steps of Washington, including the possibility of taking mirror measures.
On the same day, Tigran Meloyan, an analyst at the Center for Mediterranean Studies at the National Research University Higher School of Economics, said that the common element in Trump's actions towards China, Canada, Mexico and the EU is an invitation to dialog from a position of strength. The expert pointed out that the American president would like to support the elusive unipolar world order.
On February 3, Trump held talks with Canadian Prime Minister Justin Trudeau and after them decided to postpone the introduction of duties on goods from this country for at least 30 days. The full text of the dialog was not published, but the head of state himself said that he was satisfied with its results.
Prior to that, on February 1, Trump signed an executive order to impose trade tariffs of 25% on goods from Canada, China and Mexico. Then he also promised to introduce duties on goods from the EU. With the help of this decision, the American leader seeks to reduce the importation of the opioid fentanyl into the United States and weaken the influx of migrants.
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