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Brussels has threatened with prices on 95 billion euros in American exports, including cars and vehicle parts, if talks with Washington do not end their commercial conflict.
EU reprisal proposals would probably have an effect in July, if the European Commission makes insufficient progress to persuade the United States to raise prices on 380 billion euros in EU exports.
The Commission also declared that it would initiate a dispute to the World Trade Organization if the United States does not reduce its prices.
US President Donald Trump, April 2, imposed so -called “reciprocal” prices of 20% on almost all EU exports in the context of his global trade measures. But he reduced this to 10% on April 9 for 90 days to give time for talks.
25% prices on EU steel, aluminum and cars remain in place.
High officials of the Commission, who direct the EU trade policy, warned Thursday that they expected the price dispute “persists over time”.
“We are not pursuing a dollar for a dollar, the euro for the euro approach”, but we prefer to have “sustainable” measures in the event that the American prices last far beyond the 90-day truce for discussions, officials said.
Boeing planeWine and certain foods, such as fish, beef and olive oil, are also included on a new list established by Brussels of articles which could be subject to reprisals.
Plans and parts represent 10.5 billion euros in annual imports from the United States to the EU, cars of 2 billion euros and automotive parts of 10.3 billion euros. The possible prices levels on these imports have not yet been decided.
The Commission also intends to restrict scrap exports, which is used by American factories to create new gross steel, as previously indicated by the Financial Times.
“We use 90 days to negotiate but also to prepare for other scenarios,” said a manager.
The list must first be approved by the majority of Member States and may request that the products be deleted.
The EU had already announced that it would meet the steel and aluminum prices with samples out of 21 billion euros in American goods, including Harley-Davidson motorcycles, poultry and clothes. But the block suspended its reprisal measures during the 90 -day Trump break.
EU governments have pressure to exempt certain products from reprisal prices.
France, Italy and Ireland have succeeded in eliminating bourbon and the wine from the first list due to Trump's threat to respond with 200% prices on their own alcohol exports.
The latest proposals could also be modified, commission officials suggested on Thursday. “The list … will most likely be a little smaller than 95 million euros” at the end, said a manager.
Additional Barbara Moens reports in Brussels
