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Geopolitics

EU’s High-Wire Balancing Act With Unreliable US

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  • The 90-day pause on the 20% baseline tariff that the US had imposed on EU imports was announced shortly after the EU approved a list of retaliatory tariffs for separate duties on steel and aluminum.
  • The partial reprieve is unlikely to stop calls by some EU leaders for greater independence from a crucial but unreliable trade partner and ally.
  • But Europe remains reliant on US LNG and military support in Ukraine, even as it works to curb gas demand and scale up its defense capabilities, giving Brussels extra incentives to avoid a major rift.

The Issue

Topics:
Tariffs, Ukraine Crisis, Military Conflict, Policy and Regulation, LNG Supply, LNG Demand, Gas Demand
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