LONDON

The EU announced on Thursday that it will launch a case against the US over its "so-called reciprocal" tariffs with the World Trade Organization (WTO).

The European Commission said it has launched a public consultation on a list of US imports that may be subject to EU countermeasures if ongoing EU-US negotiations do not result in a mutually beneficial outcome and the removal of US tariffs.

In a statement, the commission noted that the consultation list concerns imports from the US totaling €95 billion ($107.4 billion), which include a wide range of industrial and agricultural products.

"The Commission is also consulting on possible restrictions on certain EU exports of steel scrap and chemical products to the US worth €4.4 billion (nearly $5 billion)," it added.

The statement underlined that this consultation is designed to address both the US universal tariffs and the tariffs on cars and car parts.

"In parallel, the EU will also launch a WTO dispute against the US on its universal so-called 'reciprocal' tariffs and tariffs on cars and car parts by formally lodging a request for consultations," said the statement.

It further noted that it is the unequivocal view of the EU that these tariffs "blatantly violate fundamental WTO rules."

"The EU's objective is thus to reaffirm that internationally agreed rules matter, and these cannot be unilaterally disregarded by any WTO member, including the US."

The statement added that the commission continues to monitor the potential diversion of global exports to the EU market, "which might be caused by the US tariffs imposed on third countries."    

Consultation to remain open until June 10  

European Commission President Ursula von der Leyen reiterated that tariffs are already having a negative impact on global economies, adding that the bloc remains fully committed to reaching a negotiated agreement with the US.

"We believe there are good deals to be made for the benefit of consumers and businesses on both sides of the Atlantic. At the same time, we continue preparing for all possibilities, and the consultation launched today will help guide us in this necessary work," she said in the statement.

The announcement also outlines the next steps following today's move, with the first being an invitation for anyone affected by potential rebalancing measures currently being considered by the EU to submit their views over a four-week period, including on the impact of US tariffs.

The consultation will be open until June 10, it added.

The commission will then finalize its proposal for the adoption of countermeasures and consult with member states through the comitology process.

"Once this process is completed, the Commission aims to have the legal act imposing the countermeasures ready to use in case negotiations with the US do not produce a satisfactory result," according to the statement.

Regarding the planned TWO case, the commission said once the EU formally submits its request for WTO consultations, the two parties will have up to two months to find a mutually acceptable solution.

If the consultations fail, the EU will be able to request the formation of a panel to consider the case's merits, it added.    

Over $428B in EU exports to US subject to tariffs  

Following the announcement, Simon Harris, Irish tanaiste (foreign minister), said the priority now is to negotiate an agreement, not tariffs.

He noted that the Irish government will assess the impact and engage with stakeholders.

On 2 April, US President Donald Trump announced the introduction of "reciprocal" tariffs, which for EU goods were set at 20%. The US also imposed a tariff of 25% on all imports of vehicles and car parts.

These were announced in addition to the 25% tariffs on imports of steel, aluminum, and derivative products the US put forward on Feb. 10, 2025.

Later, the EU announced the preparation of countermeasures against the US if negotiations to remove these tariffs failed.

On 9 April, the US announced a 90-day pause of the EU-specific 20% tariff, leaving in force a 10% tariff. In response, on 14 April, the EU paused for 90 days a series of planned countermeasures against US tariffs on EU steel and aluminum imports to allow space for negotiations.

According to the European Commission, €379 billion ($428.5 billion) of EU exports to the US (or 70% of EU exports to the US) are currently subject to new tariffs-- including tariffs put on pause-- since the new US administration took office in January.