The European Union is putting the brakes on its latest round of tariffs against the U.S., delaying the implementation of a 50% tax on American whiskey and other goods until mid-April. The delay comes after President Donald Trump warned the EU that he would respond with a 200% tariff on European alcohol.
European Commission spokesman Olof Gill confirmed the decision, saying it gives more time for engagement with the U.S. administration. The tariffs were originally supposed to go into effect by the end of March.
The EU’s plan was a response to Trump’s new tariffs on steel and aluminum, which were reinstated earlier this month. The European measures would have targeted $28 billion worth of U.S. products, with American bourbon at the top of the list.
Trump responded quickly, threatening to impose a 200% duty on alcohol imports from Europe. His warning prompted pushback within Europe itself, with several national leaders calling for a change of course.
Italy’s Giorgia Meloni, France’s Francois Bayrou and Ireland’s Michael Martin all expressed concerns over entering a tit-for-tat trade war with the U.S. Meloni said the strategy lacked common sense and would hurt both sides.
EU Trade Commissioner Maros Sefcovic said negotiations are unlikely to resume before April 2, the date when Trump’s wider reciprocal tariff policy is expected to take full effect. That timeline has added pressure on EU leaders to reconsider their approach.
American whiskey producers were bracing for the 50% tax, which was set to mirror penalties introduced during Trump’s first term. The EU now appears to be rethinking its tactics as Trump signals he is willing to escalate.
