Business confederation calls for ‘strong EU response’ to US tariffs  

The president of the Portuguese Business Confederation (CIP), Armindo Monteiro, on Thursday called for a strong joint response from the European Union to the US trade tariffs announced on Wednesday, arguing that this represents an attempt to demonstrate a position of strength to achieve concessions in other negotiations.

“We have to respond with the strength that Europe has, together we represent a significant market, together we are an important group, an important economic and commercial bloc and, in that sense, we have to demonstrate the strength that we have,” Monteiro told journalists on his arrival at a plenary meeting in Lisbon of the Permanent Commission for Social Dialogue, a statutory body.

The CIP president was reacting to the 20% tariffs on products imported from the European Union newly announced by US President Donald Trump, in addition to the 25% specific tariffs on the automobile, steel and aluminium sectors.

Trump’s new tariffs are an attempt to grow US industry, while punishing countries for what he said were years of unfair trade practices, and were imposed by the US on all imports, with surcharges for countries considered particularly hostile to trade.

“What is being discussed here is a position of strength in order to achieve concessions in another area, the diplomatic area, in areas of various other natures,” said Monteiro, noting that if this were just a trade problem, countries or blocs would “get together, find a solution and then negotiate the tariffs.

“What happened here was a unilateral proclamation of tariffs,” he emphasised, arguing that the European Union’s response must be “with one voice” and show what the bloc represents in terms of the import and export market and that, if it wants to, it can also “threaten tariffs.”

According to Monteiro, it is important to respond with a strategy – something that, he said, does not exist in the US.

“This word ‘tariff’ is Donald Trump’s favourite word; we have to show that it’s not our favourite,” he said. “Our favourites are ‘ethics’, ‘economy’, ‘trade’ – but all with values and in a reliable way, which is something that doesn’t exist on the other side of the Atlantic at the moment.”

The CIP president said it is desirable and possible for Trump to go back on his decision. If that does not happen, he said, it will create a worldwide crisis that would mainly harm Americans.