BBC: US tariffs a dangerous game, says EU
The US is playing a "dangerous game" by slapping tariffs on European steel and aluminium, the European Unions trade commissioner has said.
Cecilia Malmstrom warned the move by US President Donald Trump would have consequences for the economic recovery of the EU, as well as US consumers.
The EU has issued a 10-page list of tariffs on US goods ranging from Harley-Davidson motorcycles to bourbon.
Canada and Mexico are also planning retaliatory moves against the tariffs.
Ms Malmstrom said the EU would challenge the move at the World Trade Organization but that tariffs on US imports were necessary as "we cannot just take these tariffs and stay silent".
The commissioner said that despite the EUs "rebalancing" action, the two sides were not in a trade war.
"What we are in is a very difficult situation," Ms Malmstrom said. This situation could only be defused by the US withdrawing its measures against the EU, she added.
Mr Trump claimed the tariffs would protect US steelmakers, which were vital to national security. He has also complained about barriers US firms face in Europe and elsewhere.
Following Ms Malmstromss speech, he repeated his call for "fair trade".
"Were going to have it for our workers and for our companies and you know what? The other side understands this," he said.
Mr Trump said the US economy is strong enough to handle the consequences of the tariffs and retaliation and dismissed concerns about alienating diplomatic allies.
"Theyre our allies but they take advantage of us economically," he said.
French President Emmanuel Macron called Mr Trump to tell his the rariffs were "illegal". Mr Trump told Mr Macron there was a need for the US to "rebalance trade" with the EU.
UK International Trade Secretary Liam Fox said the 25% levy on steel was "patently absurd", adding: "It would be a great pity if we ended up in a tit-for-tat trade dispute with our closest allies."
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