Brussels (TDI): The European Union is stepping up efforts to coordinate with countries such as Canada, Japan, and others across the Asia-Pacific in response to newly announced US tariffs, according to people familiar with the matter cited by Bloomberg.
Talks between Brussels and Washington have stalled, with little progress on key disputes, particularly in areas like automotive trade and agriculture. In light of the impasse, the EU is reaching out to other nations facing similar pressure from Washington to explore possible joint responses.
European Commission President Ursula von der Leyen confirmed on Monday that the EU would prolong the pause on retaliatory measures against the United States until August 1, in a final attempt to reach an agreement. The original measures were in response to earlier US tariffs on European steel and aluminum and had previously been suspended.
“We are giving one last window for talks to succeed,” von der Leyen said, noting that preparations for further countermeasures were still underway. “We remain committed to resolving this through dialogue, but we are ready for all scenarios.”
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Von der Leyen also clarified that the EU’s recently adopted anti-coercion tool, designed to counter economic pressure from foreign powers, would not be activated for now. “It is a tool for exceptional circumstances,” she added. “We haven’t reached that threshold yet.”
Meanwhile, EC Executive Vice President Teresa Ribera indicated that the EU is accelerating efforts to strengthen trade relations with key Asia-Pacific economies, including India. “We must assess how far we can expand cooperation in the Pacific region,” she said.
US President Donald Trump announced over the weekend that a 30% tariff on EU and Mexican goods will come into effect on August 1. French President Emmanuel Macron has urged EU leaders to prepare robust countermeasures, including potentially invoking the bloc’s anti-coercion powers, if talks fail by that deadline.
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German Chancellor Friedrich Merz expressed serious concern over the impact of such tariffs on Germany’s economy, warning they would severely affect exporters.
In Canada, Prime Minister Mark Carney pledged continued support for Canadian businesses, following a US move to raise tariffs on Canadian products to 35%, also starting August 1.
Japan and South Korea are also in the crosshairs, with Washington planning to impose 25% tariffs on their exports. Japanese Prime Minister Shigeru Ishiba described the move as “deeply regrettable,” vowing to protect Japan’s economic interests through further negotiations.
Farkhund Yousafzai is an Associate Editor at The Diplomatic Insight.
