February 11, 2025 – European Commission President Ursula von der Leyen has vowed “firm and proportionate countermeasures” in response to US President Donald Trump’s decision to impose tariffs on all steel and aluminium imports. The move has escalated fears of a trade war between the two economic giants.
President Trump signed proclamations on February 10 to raise tariffs on all steel and aluminium imports to 25 percent, without exceptions or exemptions. A White House official stated that the measures would take effect on March 4.
In a statement, Dr. von der Leyen expressed deep regret over the US decision, emphasizing that tariffs are detrimental to both businesses and consumers. “Unjustified tariffs on the EU will not go unanswered – they will trigger firm and proportionate countermeasures. The EU will act to safeguard its interests,” she said.
EU steel exports to the US have averaged about €3 billion annually over the past decade. Dr. von der Leyen did not provide specific details of the EU’s response but mentioned the possibility of reactivating tariffs imposed in 2018, which were suspended under a truce with former US President Joe Biden.
EU trade chief Maros Sefcovic described the US decision as a “lose-lose scenario” and highlighted the Commission’s ongoing assessment of the scope of the US measures and the appropriate EU response.
The latest US trade measures have pushed gold prices to a record high on February 11, with the precious metal reaching US$2,942.70 in early trading.
The European Commission is set to gather the views of its 27 EU members on the bloc’s response at a video conference of European Union trade ministers scheduled for February 12.
The steel and aluminium tariffs imposed by President Trump in 2018 were suspended under President Biden but were replaced with quotas. EU steel producers have seen export volumes to the US drop by about 1 million tonnes to 2.2 million tonnes between 2019 and 2024.
A major industry concern is that the 15 million tonnes of steel the US imported from countries other than the EU in 2024 could be redirected towards the bloc if tariffs are imposed.