00:00They will impact everything from pharmaceuticals, semiconductors to wood products.
00:07U.S. President Donald Trump's tariffs of 20 percent on all imports from the European Union
00:12mark the latest escalation in the ongoing trade war between the U.S. and Europe.
00:17For the EU, a big net exporter to the U.S., this could lead to damages reaching tens of billions of euros.
00:25I deeply regret this choice.
00:28Let's be clear-eyed about the immense consequences.
00:32The global economy will massively suffer.
00:36Uncertainty will spiral and trigger the rise of further protectionism.
00:41The latest package comes in addition to the 25 percent import tariffs on cars that have now come into force.
00:48A major blow to Europe's car manufacturers.
00:50Approximately 20 percent of vehicles produced in the EU are exported to the U.S. each year.
00:56All of these will now be subject to the new tariffs.
00:59They will have a devastating impact on European exports to the United States.
01:04So they will dampen revenues, market shares, and that will have a ripple effect also on all of the supply base in Europe.
01:12So it impacts Germany, German manufacturers, but all of the European auto industry at large.
01:18The mood of many members of the European Parliament gathered in Strasbourg this week is clear.
01:23They want a strong and united reaction from the EU.
01:26I can assure you that the EU stands together in the area of trade.
01:32We are 450 million people.
01:37We are an economic powerhouse and have many more ways of reacting along with our partners compared to options available to smaller states.
01:48EU countermeasures that have already been approved for the 14th of April include iconic American products like bourbon whiskey or Levi's.
01:55Now additional tariffs will be discussed.
01:59The need to strike a balance between what we think is the right political response,
02:04which will be to say you need to stop and we are going to adopt countervailing measures,
02:11and the economic reality that putting in place counter tariffs actually could be counterproductive for the European economy.
02:19The EU has announced it will carefully review the package before deciding on its response.
02:24For now, the plan is to apply tariffs only on products that have alternatives within Europe to ease the burden on consumers.
02:31One thing is clear, the bloc wants to show that the world's biggest single market can't be sidelined easily.
Comments