EU Extends Deadline for Retaliatory Measures Against U.S. Tariffs Until August 1

Kokcha News Agency: European Commission President Ursula von der Leyen has announced that the European Union (EU) has extended the suspension of retaliatory measures against U.S. tariffs until August 1. The decision comes as the EU seeks to resolve ongoing trade disputes with the United States through negotiations, while also preparing for the possibility of further escalation.

During a joint press conference with Indonesian President Prabowo Subianto in Brussels, von der Leyen addressed questions about the EU’s response to U.S. tariffs. She explained that the U.S. had sent a letter outlining measures that would take effect if no resolution is reached through negotiations. In response, the EU has decided to extend the suspension of its retaliatory measures until the beginning of August.

Von der Leyen emphasized the importance of diversifying trade relations and focusing on the Single Market as key strategies for the EU. “The Single Market is our safe harbor,” she said, highlighting the need to deepen the Single Market program to ensure economic resilience.

Two-Phase Approach to Retaliatory Measures
Von der Leyen outlined the EU’s two-phase approach to handling the situation. The first phase involves using the time until August 1 to continue negotiations, while the second phase involves preparing retaliatory measures that can be implemented if necessary. “We have been working on retaliatory measures from the very beginning and are ready to activate them if needed,” she said.

Prepared for All Scenarios
When asked about the possibility of deploying the EU’s Anti-Coercion Instrument (ACI), which includes strict economic measures such as trade and investment restrictions, von der Leyen stated that the EU is prepared for all scenarios. “We have prepared our list of measures and reached an agreement on it. We have also prepared a second list of potential retaliatory measures, which has now been approved. The Anti-Coercion Instrument is for extraordinary situations, and we are not there yet. This is very important. Right now is the time for negotiations, but it also shows that we are prepared for all possible scenarios,” she said.

Commitment to Reaching an Agreement
In a statement posted on social media, von der Leyen reiterated the EU’s commitment to reaching an agreement by August 1. “A 30% tariff on EU exports would harm businesses, consumers, and patients on both sides of the Atlantic. We will continue to work towards an agreement until August 1. At the same time, we are ready to protect the interests of the EU based on proportional retaliatory measures,” she said.