• The EU is preparing retaliatory tariffs on €95-100 billion of US imports if trade negotiations fail.
  • Boeing aircraft and other key sectors are being targeted, mirroring US tariffs on Airbus.
  • Talks continue as both sides aim to avoid a full-scale trade war, with mid-June as a critical deadline.

Escalating Trade Measures

The European Union has drafted a list of US goods worth up to €100 billion that could face retaliatory tariffs, according to sources familiar with the matter. The proposed measures come in direct response to President Trump’s recent 20% universal tariff on EU exports, which includes a 25% levy on cars and metals. The European Commission is expected to share the finalized list with member states this week, though adjustments may still occur during consultations over the next month.

Among the most notable targets are Boeing aircraft, a strategic move to counterbalance US tariffs on Airbus. "We are already finalizing a first package of countermeasures in response to tariffs on steel," EU Commission President Ursula von der Leyen stated earlier this week. "If negotiations fail, we will protect our interests."

Negotiations Under Pressure

Diplomatic efforts are ongoing, with EU and US officials holding urgent talks to defuse tensions before mid-June. The EU has temporarily paused some countermeasures to allow room for dialogue, but officials warn that patience is wearing thin. "Reaching for tariffs as your first and last tool will not fix the global trading system," von der Leyen emphasized, signaling frustration with Washington’s approach.

Boeing, already grappling with trade disputes involving China, could face significant disruptions if the EU proceeds with tariffs. Meanwhile, European manufacturers are bracing for supply chain disruptions, particularly in the automotive and metals sectors.

Economic Stakes

EU-US trade reached €1.6 trillion in 2023, making the potential fallout from a tariff war substantial. With €4.4 billion in goods and services crossing the Atlantic daily, prolonged tensions could ripple through global markets. The EU’s proposed measures are designed to pressure the US back to the negotiating table—but if talks collapse, the economic consequences could be severe.

Correction: An earlier version of this article misstated the timeline for US tariff implementation. The correct date is April 9, 2025.