‘Prepare for war’: EU disappointed with 30 percent US tariffs, seeks deal to retaliate

Brussels –In the end, the president of the United States breaks the deadlock. Donald Trump sent a letter to the European Commission in which he warned that 30% tariffs would apply to all European goods from 1 August, and if the EU retaliates, they would rise even further. An unwelcome move, and one that leads the EU to consider many options. The first: dumping the US. “They are an important partner, worth 13 percent of world trade. It means that there is 87 percent beyond the United States,” Lars Lokke Rasmussen, Minister for Foreign Affairs and Foreign Trade of Denmark, the country which holds the rotating presidency of the EU Council, reasoned out loud at the trade ministers’ meeting. 

Denmark, which also has the issue of Greenland open with the Trump administration, is ready for confrontation. “We do not want a war; it is not in our interest. However, we must recognize that our relations with the United States are at a critical juncture, and we must be ready for all circumstances.” It means negotiating an amicable settlement by 1 August, while simultaneously putting in place counter-tariffs. “If you want peace, you have to prepare for war,” Rasmussen finally blurts out, calling on the Twenty-Seven to be “united” in their response to Trump’s threats. He then sums up the “dual-track” policy: “We don’t want war but we have to be ready,” and in this sense the Danish presidency gives a full mandate to the EU negotiator, Trade Commissioner Maros Sefcovic, who “needs all our support.”

Lars Lokke Rasmussen, Danish Foreign and Trade Minister [Brussels, July 14, 2025]

Unfortunately, the ministers come to the table divided. Belgium, Lithuania, Sweden, Spain, the Netherlands, Ireland, and Italy would like to avoid escalation and focus only on the negotiated agreement. The Commission froze the first set of measures in response to the US tariffs until early next month, and stopped the trade aggression mechanism precisely so it could negotiate. France and Germany are instead calling for counter-tariffs from 1 August in case of no deal. 

“I am disappointed because the letter sent by Trump puts us in a different dynamic,” Sefcovic acknowledged. He did not appreciate the White House occupant’s initiative in the middle of the ongoing negotiations, which the Trade Commissioner, however, does not abandon. “We have never changed our strategy: a negotiated solution is always better than tensions.” So, talks will continue with preparations of countermeasures underway because the announced US tariffs are inadmissible. ‘Whether the tariffs are 30 percent or more does not change the effects: it makes trade almost impossible and they would disrupt the trans-Atlantic supply chain.”

The ministers take stock to understand how to proceed, but an extraordinary meeting of the heads of state and government cannot be ruled out. “Tell me one leader who is happy with these tariffs…,” Sefcovic comments, aware that things are not looking good.