The European Union (EU) is planning a strong response to US President Donald Trump’s new tariff threats, including the possible activation of the Anti-Coercive Instrument (ACI) dubbed the ‘big bazooka’.
The move follows Trump’s threat to impose import taxes on eight European countries that rejected his proposal to take over Greenland.
European leaders have described the statement as undue pressure and dangerous to transatlantic relations.
In emergency talks on Sunday, EU diplomats discussed a proposal to reactivate 93 billion euros worth of retaliatory tariffs on US goods, which were previously suspended after a trade deal was reached last year.
The EU’s never-before-used ACI law allows the bloc to impose economic sanctions on countries that try to force policy changes through trade pressure.
Potential targets include US-made cars, industrial machinery, as well as agricultural and consumer products.
French President Emmanuel Macron reportedly supports the use of the ACI if Trump follows through on his threats, while Italian Prime Minister Giorgia Meloni described the tariff move as a ‘big mistake’.
The Dutch Foreign Minister called Washington’s move a form of intimidation against their allies.
The head of the European Council, António Costa, has called an emergency summit on Thursday to decide on the next steps.
Whether to continue with tough action or give room for negotiations with Washington.
