Archive · 19 Jan 2026
EU Prepares Trade Retaliation Against US
The European Union is thinking about putting taxes on a lot of American goods because President Trump said he might do the same to European products.
This started because Trump wants some European countries to let the US buy Greenland, which they don't agree with.
The EU is trying to find a peaceful solution first, but they're also getting ready to fight back if needed.
Some people in the US and Europe think this isn't a good idea and want everyone to talk instead of fighting with taxes.
The EU is considering imposing tariffs on €93 billion of US goods in response to Trump's tariff threats.
Trump announced a 10% tariff on goods from eight European countries starting Feb. 1, rising to 25% in June, unless there’s a deal for the 'purchase of Greenland.'
The EU will halt approval of its July trade deal with the US, citing Trump's tariff threats and lack of reciprocity.
EU leaders are exploring possible retaliatory measures, including the use of the anti-coercion instrument, a powerful trade retaliation tool.
The EU is seeking a diplomatic solution and will first try to find a diplomatic solution, according to people familiar with the discussions.
- Who
- European Union and the United States
- What
- Potential trade retaliation by the EU against US tariff threats
- When
- January 19, 2026
- Where
- Brussels, Belgium
- Why
- In response to President Trump's threat to impose tariffs on European countries
EU
US
Trade Deal Approval
EU
The EU will halt approval of its July trade deal with the US, citing Trump's tariff threats and lack of reciprocity.
US
US Treasury Secretary Scott Bessent dismissed EU threats, stating that the US president is using strategic leverage to get what he wants.
Tariff Imposition
EU
The EU is considering imposing tariffs on €93 billion of US goods if Trump follows through with his 10% tariff threat, rising to 25% in June.
US
Trump announced a 10% tariff on goods from eight European countries starting Feb. 1, rising to 25% in June, unless there’s a deal for the 'purchase of Greenland.'
Diplomatic Approach
EU
The EU is seeking a diplomatic solution and will first try to find a diplomatic solution, according to people familiar with the discussions.
US
US Republican Senator Thom Tillis and Democrat Jeanne Shaheen urged the Trump administration to 'turn off the threats and turn on diplomacy.'
- EU Tariff Target
- €93 billion of US goods
- US Tariff Threat
- 10% starting Feb. 1, rising to 25% in June
- EU Trade Deal with US
- Halted approval due to Trump's tariff threats
- EU's Anti-Coercion Instrument
- Considered for use in response to US tariffs
- US Tariff Targeted Countries
- Denmark, Norway, Sweden, France, Germany, the UK, the Netherlands, Finland
Sources
Why The European Union And Mercosur Signed A Major Trade Deal After 25 Years
Why the ‘India–EU Free Trade Agreement’ could be a game changer for Indian exports?
‘Strategy failed’: Trump tariffs over Greenland demand have blown up EU’s appeasement plan
