The European Union will implement counter tariffs on €26 billion worth of U.S. goods beginning in April, the European Commission announced on Wednesday.

The move comes in response to the U.S. decision to reinstate and expand tariffs of up to 25% on steel and aluminum imports, which took effect on Wednesday.

The EU’s countermeasures will be implemented in two phases. On April 1 The EU will end the suspension of tariffs it imposed in 2018 and 2020, reintroducing duties on products such as boats, bourbon, motorbikes, and agricultural goods. Then on April 13 a new package of additional tariffs will take effect, targeting approximately €18 billion in goods, in an attempt to ensure that the EU’s tariffs are commensurate with the impact of the new U.S. tariffs.

The combatting tariff war traces back to June 2018, when the Trump administration imposed tariffs on €6.4 billion worth of EU steel and aluminium exports. The EU responded with countermeasures but later suspended them in 2021 during the Biden administration, following negotiations for a global steel and aluminium agreement.

However, on Wednesday Trump once again in power, reinstated these tariffs, expanding them to cover new categories, including steel and aluminium products, household goods, machinery and industrial equipment, gym equipment and electrical appliances. The European Commission estimates that the U.S. tariffs will affect a total of €26 billion in EU exports, amounting to 5% of the EU’s total exports to the U.S..

European Commission President Ursula von der Leyenn emphasized that the EU remains open to discussions on the tariffs: “We firmly believe that in a world fraught with geoeconomic and political uncertainties, it is not in our common interest to burden our economies with such tariffs. We are ready to engage in a meaningful dialogue” she stated.

But with the tariffs in place, the European Commission has launched a two-week consultation with EU stakeholders to finalize the list of additional U.S. products to be targeted. The proposed products include: steel, aluminium, textiles, home appliances, plastics as well as poultry, beef, eggs, dairy, sugar, and vegetables.

By mid-April, the EU has stated that it will finalize and implement these additional countermeasures.

The direct consequences of these tariffs for Greece is expected to be limited, as the country exports relatively few goods to the United States. However, experts warn that the indirect effects could be more complex and far-reaching.