Money and business

The European Union accepts new US tariffs on the condition that they adhere to a 15% ceiling.

The European Commission announced its willingness to accept new US customs duties on some European goods that Washington believes were produced using forced labor, provided that the US administration adheres to its pledge not to exceed the 15% tariff ceiling on European Union exports to the United States.

This development comes at a time when the administration of US President Donald Trump is seeking to re-impose what is known as “reciprocal duties”, after the US Supreme Court invalidated them last February, including a 15% customs duty on most European Union exports to the US market.

The temporary fee of 10% imposed by the US administration following the court’s decision is scheduled to expire next Friday.

Last June, the Office of the US Trade Representative (USTR) proposed imposing an additional 10% tariff on European products suspected of benefiting from forced labor, as part of a Section 301 investigation into what Washington considers unfair trade practices.

These fees are widely expected to replace the current temporary tariff, with the possibility of being applied at any time.

A senior European Commission official said that Brussels does not object to the legal mechanism that the United States will use to impose duties, as long as it ensures that the agreed-upon maximum of 15% is not exceeded.

He added that regardless of the legal form or tool that the United States will use, the fees must remain below the agreed upon maximum ceiling of 15%.

He explained that the most important thing for the European Union is that the new system be stable and predictable, allowing European companies to benefit from the understandings reached.

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