BRUSSELS: The European Union slapped revenge tariffs on iconic US products including bourbon, jeans and motorcycles on Friday in its opening salvo in a trade war with President Donald Trump.
The tariffs, which took effect at midnight (2200 GMT Thursday) according to the EU’s official journal, will further fuel jitters on world stock markets that are already alarmed by trade tensions between the United States and China.
Customs agents across the Europe’s colossal market of 500 million people will now impose the duty, hiking prices on US-made products in supermarkets and across factory floors.
Brussels imposed the raft of duties on US products worth 2.8 billion euros ($3.3 billion, Dh11.9 billion) in a tit-for-tat response to Trump’s decision to slap stiff tariffs on European steel and aluminium exports.
Together with US tariffs against Mexico and Canada, the trade battles have raised the spectre of a global trade war, spooking financial markets that fear major consequences to the global economy.
“We have a trade war — and it’s an escalating trade war,” SEB chief economist Robert Bergqvist told AFP in an interview.
Brussels first drew up the list in March when Trump initially floated the 25 per cent tariffs on steel imports and 10 per cent on aluminium, which also target Canada, Mexico and other close allies.
The list does not specifically name brands but European Commission chief Jean-Claude Juncker spelled out in March that the bloc would target “Harley-Davidson, bourbon and Levi’s jeans”.
Cranberries, cranberry juice, orange juice, sweetcorn and peanut butter are among the other food products targeted.
The list also hits clothing along with bed linen and men’s leather footwear, eye make-up and lipsticks, plus a host of steel products.
