NICOSIA/BRUSSELS, May 31 (Xinhua) -- The European Union has described new U.S. tariffs on steel and aluminum exports as being "unjustified and at odds with World Trade Organization rules".
On Thursday, Washington unleashed hefty tariffs on steel and aluminum imports from Europe, Mexico and Canada. On the heels of the announcement, a European Commission statement slammed the decision as being "protectionism, pure and simple".
Jean-Claude Juncker, European Commission president, appeared exasperated at the development. "It's totally unacceptable that a country is imposing unilateral measures when it comes to world trade," he said in Brussels.
The 28-nation bloc says it will retaliate with its own measures, and is considering the scale and extent of its response. It is widely reported that duties on U.S. exports including whisky, motorbikes, peanut butter and jeans are being considered.
Media in Europe have started speculation on the permanent effects it might have on EU-U.S. relations, which are understood to be prickly and strained.
"Much of what we see today reminds me of the period in Europe between the two wars when attempts to find agreements on trade and other economic issues were torpedoed by populist or nationalist governments," independent economic historian Alex von Witzleben told Xinhua.
"We all know what happened. To overcome the current turbulences Europeans have to work together and not nationalize again. It is the only way to face Trump and may open the way to deepen economic cooperation with China which can be beneficial for the economic development in Europe and China," he added.
Just prior to the U.S. announcement, French Finance Minister Bruno Le Maire warned: "Our U.S. friends must know that if they were to take aggressive actions against Europe, Europe would not be without reaction."
Antonio Tajani, the President of the European Parliament, also expressed disappointment. "We stand by our European workers and industry and will respond with all available tools to defend our interests. Unilateral trade tariffs are always a negative sum game," he tweeted.
In London, Liam Fox, UK minister responsible for trade issues, said counter measures could not be ruled out, neither was the possibility of taking the dispute to the World Trade Organization.
"Obviously we still hope the United States will think again about this but it would be a great pity if we ended up in a tit-for-tat trade dispute with out closes allies," Fox said.
News of the tariffs also sparked a reaction on Wall Street, where the Dow fell, prompting opponents of the measure to warn that consumer prices in the United States will be driven up.
"In addition to higher prices," tweeted U.S. Senator Pat Toomey, "these tariffs invite retaliation." Toomey is among a growing chorus of politicians that believe the tariffs will spark a global trade war.
Larry Summers, the former Treasury secretary in the Bill Clinton administration, called the tariffs "ludicrous".
An immediate response to the tariffs came from Mexico, where the government announced U.S. imports, including pork bellies, apples, and cheese would be subject to additional duties.
