EU holds off on tariffs as Trump threatens trade escalation

The EU has once again delayed retaliatory tariffs on US goods, hoping to avoid a full-blown trade clash after US President Donald Trump warned of 30 percent tariffs on European imports starting August 1.

European Commission President Ursula von der Leyen said the pause—originally set to expire Tuesday—will now last until early August to allow space for talks. “We still prefer a negotiated solution,” she told reporters, according to BBC.

EU trade ministers will meet Monday in Brussels to decide how tough a stance to take. Germany’s finance minister Lars Klingbeil called for “serious” dialogue but said Europe must be ready to act if needed. France’s Emmanuel Macron echoed that message, urging strong defense of EU interests.

Trump’s administration has floated tariff plans targeting 24 countries and the EU. Despite rising tensions, Trump insisted the tariffs are bringing “hundreds of billions” into the US, BBC reported.