Swedish Trade Minister Criticizes US Tariffs as ‘Unprofessional’ and Outlines EU Response
Swedish Trade Minister Benjamin Dousa criticizes proposed US tariffs as unprofessional, outlining a four-step EU response strategy.
Key Points
- • Dousa criticizes US tariffs as unprofessional and harmful to trade.
- • EU prepares over 91 billion euros in countermeasures against US tariffs.
- • Action plan involves ongoing negotiations, collaboration, and exploring new markets.
- • Higher tariffs on US goods may be proposed alongside lower tariffs for other countries.
Swedish Trade Minister Benjamin Dousa has strongly criticized the United States for its proposed tariffs on European Union (EU) goods, describing the US's conduct as ‘unprofessional’ during a recent EU meeting dedicated to the issue. Dousa articulated Sweden's concerns about the impact of these tariffs on EU economies and highlighted Sweden's commitment to pursuing a negotiated resolution before the upcoming August 1 deadline.
The EU's approach involves a comprehensive four-step action plan that includes ongoing negotiations with the US, preparing countermeasures, collaborating with allied nations such as Canada, Japan, and South Korea, and exploring new markets to support European businesses. To combat the potential financial repercussions of the tariffs, the EU has prepared two significant financial packages totaling over 91 billion euros. While the first package, worth 21 billion euros, is ready for implementation, its launch has been postponed to foster a more constructive atmosphere for negotiations with the US.
Dousa emphasized the importance of these countermeasures, warning that significant tariffs—such as the proposed 30%—could severely undermine industries with narrow profit margins. He stated, "Accepting such high tariffs is unacceptable as it would cripple several low-margin industries."
Furthermore, he mentioned ongoing initiatives to potentially raise tariffs on US goods while simultaneously lowering tariffs for other World Trade Organization (WTO) member nations. Dousa pointed out that new trade agreements, particularly with countries like India and within the Mercosur bloc, could mitigate the impact of the US tariffs by compensating for 75% of the possible sales losses in the American market. He concluded with a caution that the trade conflict would adversely affect all involved, noting that Americans would likely experience slower economic growth and increased inflation as a result of these measures.
As EU member states prepare for negotiations, Dousa remains optimistic about finding a viable resolution that minimizes the adverse effects on both European and American economies before the looming deadline.