EU urged to strike back at Trump's tariffs targeting states
Austrian Minister of Economy Wolfgang Hattmannsdorfer on Thursday urged the European Union to impose retaliatory tariffs on Republican states and technology companies. Vienna suggests that EU countries should respond similarly 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 maintain trade surpluses with the United States. He shared a list of countries and the tariff rates that will apply to them. For the European Union, the rate will be 20%.
Statements from world leaders indicate that a significant retaliation against the U.S. President's move is being prepared. For example, Austrian Minister of Economy Wolfgang Hattmannsdorfer proposed that the European Union respond to Donald Trump's decision to impose tariffs by targeting Republican states and technology companies. He suggested this strategy could compel the American leader to engage in negotiations.
"We must target the Republican states and Donald Trump's allies, especially technology companies," Hattmannsdorfer said during a press conference. The United States is the second-largest importer of Austrian goods after Germany, accounting for 8.5% of Austria's exports.
New tariffs in the USA
On Wednesday, Trump signed an order introducing "reciprocal tariffs" at a rate of at least 10% on goods imported from abroad, with a 20% rate specifically for the European Union.
"Foreign leaders have stolen our jobs. Foreign cheaters have ransacked our factories. And foreign scavengers have torn apart our once-beautiful American dream. April 2, 2025, will forever be remembered as the day American industry was reborn, the day America’s destiny was reclaimed. We will charge them approximately half of what they are – and have – been charging us. So, the tariffs will be not a full reciprocal. I could have done that, I guess, but it would’ve been tough for a lot of countries. We didn’t want to do that," stated Trump.
The Republican described these actions as America's "declaration of economic independence." Starting Thursday, a 25% tariff applies to cars and light trucks imported into the USA, with some exceptions for vehicles from Mexico and Canada. The import tax on car parts and computers will be implemented on May 3.
"It is certain that inflation in the USA will increase due to rising tariffs. Everyone agrees on this. The blow Donald Trump wants to deliver to the world can only be compared to what the USA did on June 13, 1930. It was a beautiful disaster," wrote economist Piotr Kuczyński.
