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News from Brussels
The EU will respond “firmly and proportionately” to any breach of its trade deal with the U.S. reached last year, European Commission spokesperson Olof Gill said Thursday.
Gill was responding to probes into unfair trade practices launched by the U.S. overnight against the EU and other countries. The broad-spectrum investigations could result in the imposition of new tariffs, raising concerns in Brussels that this would breach the terms of the deal struck at President Donald Trump’s Turnberry golf resort in Scotland.
“We have not received any indication that the U.S. administration intends to deviate from those commitments,” Gill told a press conference. He added that the Commission would reach out to its U.S. counterparts to clarify how the investigations would affect the Turnberry deal.
U.S. Trade Representative Jamieson Greer said on Wednesday that his department was looking into whether countries’ policies are fueling excess manufacturing capacity — producing far more goods than demand supports — which officials say can flood global markets and squeeze U.S. manufacturers.
The so-called Section 301 probes come after the U.S. Supreme Court last month struck down Trump’s original wide-ranging tariffs. The White House subsequently imposed blanket 10 percent tariffs in the interim as it works to enact new duties.
Treasury Secretary Scott Bessent this week gave private assurances to EU trade chief Maroš Sefčovič that the U.S. intends to stick to the transatlantic trade deal, which sets a tariff ceiling of no higher than 15 percent on most EU exports.