EU’s Economic Response to US Tariffs Demanded by Economist Veronika Grimm
Economist Veronika Grimm has called on the European Union to take a firm stance in response to potential US tariffs, suggesting that the EU impose targeted countermeasures, such as EU tariffs on Harley-Davidson, whiskey, or jeans, to counterbalance the US moves.
“It is crucial for the EU to maintain a hard line without risking an escalation of the trade conflict” Grimm told the Rheinische Post in an interview. “The EU should present a united front and not rely on bilateral deals with individual member states. In the past, targeted countermeasures, such as those on US exports with high symbolic value, like Harley-Davidson, whiskey, or jeans, have shown their effectiveness.”
Grimm also advised the EU to prepare thoroughly for the negotiations and identify areas where concessions might not harm or even benefit the EU, such as in the energy imports sector. She noted that Trump’s approach follows a familiar pattern, in which aggressive measures like tariffs are implemented, followed by negotiations in which the US seeks to extract as many concessions as possible, particularly in the automotive sector, which the US president has repeatedly mentioned as a target.
In light of this, the EU must be prepared, especially in the automotive sector, Grimm emphasized.