EU foreign policy chief says no winner in trade war with US

ISTANBUL

There would be no winner in a trade war between the US and Europe, EU foreign policy chief Kaja Kallas said Monday.

On Sunday, US President Donald Trump told journalists that new tariffs on EU goods would “definitely happen” and could come “pretty soon.”

"We were listening carefully to those words, and of course, we are preparing also on our side," Kallas told the press ahead of an informal EU leaders’ summit on defense in Brussels.

She emphasized the interdependence between the US and the EU, warning that a trade war would ultimately benefit China.

"If the US starts the trade war, then the one laughing on the side is China. We are very interlinked. We need America, and America needs us as well," she added.

Concerns over possible trade wars

Trump’s return to the presidency has reignited concerns over potential trade wars between the US and EU.

The Trump administration is reportedly considering imposing tariffs ranging from 10% to 20% on all EU imports and up to 100% on automobiles, citing the need to protect American jobs and address “unfair trade” practices from Europe.

His decision on Saturday to impose a 25% tariff on imports from Canada and Mexico and a 10% tariff on Chinese goods has now turned attention to what will happen in Europe.

While there is speculation that the EU could retaliate with its own tariff increases, the bloc’s fragmented political structure is expected to complicate a unified response.