On Thursday, 8 May, the European Commission opened a four-week public consultation on a list of U.S. imports worth €95 billion subject to countermeasures, and on possible restrictions on certain EU exports to the US. This comes as the Commission is negotiating a mutually beneficial solution to U.S. tariffs—otherwise it will proceed both with targeted EU duties and a World Trade Organization (WTO) dispute.
The list covers U.S. industrial and agricultural goods totalling €95 billion. The consultation also examines possible EU export restrictions on steel scrap and chemical products to the US, valued at €4.4 billion. This consultation is a crucial step. It allows anyone potentially affected – from large industries to small businesses and consumers – to submit their views on the proposed measures and the impact of the U.S. tariffs. This feedback, due by 10 June, will help the Commission finalise its proposal. Should negotiations falter, and after consulting with EU Member States (a process known as “comitology”), the legal framework for these countermeasures could be swiftly enacted.
WTO dispute
In parallel, the EU will request WTO consultations on the U.S. so-called “reciprocal” tariffs and the 25% car duties, arguing they breach core WTO obligations. WTO rules require any member to seek dispute settlement rather than impose unilateral sanctions, with the EU insisting these duties are “unjustified and in clear breach of global trade rules.”
After the formal request, the U.S. and EU have up to two months to find an amicable resolution. Failing agreement, the EU may ask for a WTO panel to be convened to examine the case on its merits. If the panel rules in the EU’s favour, the U.S. could be required to repeal its contested tariffs or face authorised EU reprisals under WTO supervision.
Conclusion
The European Commission is treading a careful line, prioritising diplomacy and negotiated solutions whilst robustly preparing to defend EU interests if necessary. European Commission President von der Leyen acknowledged the negative global economic impact of tariffs, stating, “At the same time, we continue preparing for all possibilities, and the consultation launched today will help guide us in this necessary work.”
Ultimately, the EU hopes to de-escalate the situation and achieve a balanced outcome that benefits both European and American citizens and businesses. However, it remains steadfast in its readiness to act decisively to protect its economic interests and uphold the integrity of the global trading system.
