According to Reuters, the European Union has recently decided to postpone the first batch of countermeasures against the US steel and aluminum tariffs until mid April, in order to buy more time for negotiations and reassess the targets of attack. This decision marks a new stage in the game of the trade war between Europe and the United States, and the competition between the two sides on tariff policies is becoming increasingly fierce.

Time adjustment of countermeasures

The EU had originally planned to re impose 2018 tariffs on US products worth 4.5 billion euros on April 1, and then impose tariffs on US products worth 18 billion euros on April 13. However, the European Commission has decided to adjust the timing of the two sets of countermeasures to mid April in order to negotiate with member states and gain negotiation time. EU Trade Commissioner Sefcovic stated that this move aims to create more space for negotiations with the United States.

The United States' tough response and negotiation deadlock

The US has taken a tough stance, with the Trump administration not only threatening to impose a 200% tariff on EU wines and other alcoholic products, but also planning to implement "equivalent" tariffs on April 2nd to rebalance the global trading system. Sevkovic revealed that there has been limited progress in negotiations with the United States, and it seems that the US is more inclined to attract investment and achieve re industrialization through tariff policies.

Divergence and cautious attitude within the European Union

The attitude towards countermeasures within the EU is not consistent. French Prime Minister Berlusconi believes that the measures targeting American whiskey may be flawed, while Italian Prime Minister Meloni warns against exacerbating the trade dispute with the United States. Irish Prime Minister Martin supports delaying countermeasures, believing that it will help evaluate US policies and make strategic responses.

Summary: The prospect of a trade war is uncertain, and the game is still ongoing

The EU's decision to postpone its countermeasures against US tariffs reflects its cautious attitude in the trade war. Despite internal differences, the EU hopes to ease tensions through negotiations. However, the tough stance and tariff policies of the United States have made the negotiation prospects full of uncertainty. In the future, the direction of the trade war between Europe and the United States will depend on whether both sides can find a balance point in the game and avoid further escalation of the conflict.

In the short term, the euro may be under pressure due to the uncertainty of the trade war, but its medium to long term trend will depend on the outcome of negotiations between Europe and the United States and the recovery of the European economy. If the trade war escalates, the euro may further decline; If the situation eases, the euro is expected to rebound. Investors need to closely monitor the progress of negotiations and economic data.