EU agrees €93bn worth of counter tariffs against the US if trade talks fail

Tánaiste Simon Harris denied counter tariff proposals were escalatory, saying it was 'now long past time for a deal'

Tánaiste and foreign affairs minister Simon Harris said the Government was continuing to back EU Trade Commissioner Maroš Šefčovič in his negotiations with the US.

EU member states have agreed to introduce €93bn worth of counter tariffs against the US, if the two sides fail to reach a deal by August 1. 

The counter-tariff measures are set to come into effect on August 7, if a deal is not reached.

Tánaiste and foreign affairs minister Simon Harris said the Government was continuing to back EU Trade Commissioner Maroš Šefčovič in his negotiations with the US.

“However, throughout the negotiations, we have been clear that while we would engage in good faith with the US, it was also necessary to prepare rebalancing measures should negotiations not be successful,” Mr Harris said.

He denied the counter tariff proposals were escalatory, saying it was a “continuation of our calm, measured preparation”.

“While we were successful in removing some key Irish sensitivities following intensive consultation with the European Commission, this package of rebalancing measures, if implemented, would have an adverse effect on European and Irish business,” Mr Harris said.

However let me be clear, while we do not wish to see this list ever come into effect, the EU must prepare for all eventualities and must be enabled to negotiate with the United States from a position of strength.

“That is why it is now long past time for a deal.” 

The package itself is a consolidation of two separate tariff packages — one in response to US steel and aluminium valued at €21bn, while the second was compiled earlier this summer.

US president Donald Trump has threatened to introduce 30% tariffs on all EU goods from August 1.