EU Retaliates Against US Tariffs; UK Pursues Economic Accord

In response to the Trump administration's implementation of a 25% tariff on steel and aluminum imports, the European Union announced retaliatory trade measures affecting approximately €26 billion worth of American goods, including textiles and agricultural products, set to take effect in April. These tariffs aim to target key Republican-held states, applying pressure on U.S. lawmakers to reconsider the tariffs. Meanwhile, the UK opted not to retaliate immediately, favoring ongoing trade negotiations with the U.S. Business and Trade Secretary Jonathan Reynolds expressed disappointment over the tariffs but emphasized a pragmatic approach to securing a broader economic agreement with Washington. This divergence in response has highlighted the UK's flexibility post-Brexit compared to the EU's swift countermeasures. The UK government is also considering support measures for its steel industry, which is significantly affected by the U.S. tariffs.