The European Union has decided to postpone the imposition of retaliatory tariffs on goods imported from the United States until early August 2025, despite the U.S. announcing a new round of tariffs targeting EU products.

This move comes after U.S. President Donald Trump confirmed that 30% tariffs on EU imports will take effect from August 1, following a breakdown in negotiations for a broader trade agreement.

European Commission President Ursula von der Leyen explained that the U.S. had sent a formal letter outlining the measures that would be enacted unless a negotiated solution is reached. In response, the EU has opted to extend the suspension of its own countermeasures until early August, aiming to provide additional time for negotiations and avoid an immediate escalation of the trade conflict.

Von der Leyen emphasised that the EU will not remain passive and that preparations for additional countermeasures are ongoing, should talks fail to yield a resolution.

The EU’s planned countermeasures, if implemented, could impact U.S. exports valued at approximately €21 billion (US$24.5 billion). The delay in enforcement is strategically timed, as the EU seeks a negotiated outcome rather than immediate retaliation, reflecting its preference for dialogue over confrontation.

EU trade ministers are scheduled to convene in Brussels to discuss the bloc’s next steps, especially after Trump’s recent hardline stance. However, it is still uncertain whether the ministers will endorse von der Leyen’s decision to maintain the suspension of countermeasures through the August 1 deadline, or whether they will push for a more immediate response.

The current situation underscores heightened tensions in transatlantic trade relations, with both sides preparing for the possibility of a larger trade conflict if negotiations break down. The EU, while holding out hope for a deal, is making it clear that it is ready to act decisively to protect its economic interests if necessary.

Based On ANI Report