alt Hacker NewsThe EU didn't really fold, they blew him off. It was just a bunch of "yeah sure Donny, here's a bunch of meaningless promises we have no ability or mechanism to actually enforce". For example they promised to buy a bunch of gas, but the EU has no mechanism to make companies or even member states buy gas.
The only real concession the EU made was just allowing Trump to tariff them at a certain rate, and not counter-tariffing back (with various escape clauses).
While the EU response certainly wasn't a feel-good display of chest thumping, I think it was somewhat effective. He was able to strut around and feel big, and they were able to move on.
The only reason the EU would really want to apply counter tariffs against the USA would be to either make a point, or because they are actually afraid that exports from the USA could outcompete EU products unless tariffed, but this just isn't really the case right now.
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The only form of retailiation I think the EU should actually be pursuing is the equivalent of tariffs on US software. This is the area that the USA is a highly competitive 'exporter', and putting up barriers agaisnt these software services would be a good way to hurt the USA, and protect / stimulate domestic alternatives.
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Not just software but online services. That would help us a lot and is safer anyway.
> and protect / stimulate domestic alternatives.
I really would love to see this, but the sad truth is that there are no real alternatives for a very big amount of software products. In the end, the eu residents will simply have to pay more for a lot of software products, and that's it :(
Europe/EU are highly reliant on the US military and these issues are linked.
Regarding the retaliation, I’m unsure who would be hurt more. There are very few ready alternatives to the MS office suite, and none with the close integrations like AD. Most corps run on Microsoft. If those contracts get slapped with tariffs they would become unmanageable to buy.
Then, because it isn’t on-premise anymore where you could just continue running without paying for the service contract you lose direct access to the product. So that might even mean whole companies going under.
If Europe does't buy gas from Russia then that leaves Qatar and the US. Qatar does sell a lot to Europe (hence you'll notice how "friendly" Europe is towards Qatar) but is vulnerable to instability in the straight of Ormuz.
The US are making a fortune on gas at the expense of Europe an it's not that the promise to buy gas is meaningless because unenforceable within Europe, it's that it was already happening in practice. And that makes Europe even more dependent on the US (while the complaint was that we could't buy gas from Russia and depend on them).
The EU also stopped enforcing its laws (like DMA and GDPR) against US tech companies.
> The only real concession the EU made was just allowing Trump to tariff them at a certain rate
No. Van der Leyen also promised EU investments into the USA. This is betrayal as well; that money should go into EU countries. Or Canada.
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To add into what you said. EU’s Carbon Border Adjustment Mechanism (CBAM) already affects the United States, though its impact varies depending on the sector. CBAM is big permanent change, and that will be rolled in smoothly below all this.
EU has carbon tax internally and they are rolling out CBAM to prevent "carbon exports" (manufacturing stuff outside EU and then importing those product without tax). CBAM is currently used directly some high-emission sectors: iron and steel, aluminum, fertilizers, cement, electricity, and hydrogen.
EU importers require granular data on the embedded emissions (both direct and indirect). US companies in these supply chains have had to overhaul how they track and verify carbon intensity down to the sub-supplier level to help their EU buyers comply with strict European reporting standards.
EU will gradually expand CBAM after allowing supply chains to adjust.