EU urged to retaliate against U.S. tech firms over tariffs
The Austrian Minister of Economy, Wolfgang Hattmannsdorfer, called on Thursday for the European Union to impose retaliatory tariffs on Republican states and technology companies. Vienna proposes that EU countries respond in this way to the tariffs announced by U.S. President Donald Trump.
On Wednesday evening Eastern Time, Donald Trump announced the introduction of reciprocal tariffs on all countries that have trade surpluses with the U.S. He shared a list of countries and the tariff rates that would apply to them — for the European Union, this stands at 20%.
The statements from world leaders suggest that significant retaliation is being planned in response to the U.S. President's actions. For instance, Austrian Minister of Economy Wolfgang Hattmannsdorfer suggested that the European Union should target Donald Trump's decision to impose tariffs by targeting Republican states and technology companies. Hattmannsdorfer expressed that such a move could compel the American leader to enter negotiations.
At a press conference, Hattmannsdorfer emphasized the need to focus on Republican-led states and associates of Donald Trump, including certain tech firms. He noted that the United States is Austria’s second-largest trading partner after Germany, receiving 8.5% of Austria’s total exports.
New tariffs in the United States
On Wednesday, Trump signed an order introducing "reciprocal tariffs" with a minimum rate of 10% on goods imported from abroad, and specifically 20% for the European Union.
Trump asserted that for years, the U.S. has been taken advantage of by dishonest foreign actors who have cost American jobs, but that is coming to an end. He announced that he was about to sign a groundbreaking executive order that would impose reciprocal tariffs—meaning if other countries tax American goods, the U.S. will do the same to theirs. He emphasized the simplicity of this approach and described the day as a pivotal moment in U.S. history, calling it a declaration of the country’s economic independence.
The Republican described these measures as America's "declaration of economic independence." Additionally, a 25% tariff on imported cars and light trucks, with partial exclusion for vehicles from Mexico and Canada, came into effect on Thursday. A tax on the import of car parts and computers is scheduled to be implemented on May 3.
"It is certain that inflation will rise in the U.S. as a result of increased tariffs. Everyone agrees on this. The blow that Donald Trump wants to deliver to the world can only be compared to what the U.S. did on June 13, 1930. It was a beautiful disaster," wrote economist Piotr Kuczyński in an opinion piece for money.pl.
