EU targets Boeing, bourbon for potential tariffs on U.S. goods

The European Commission is preparing retaliatory tariffs on €72 billion ($84.1 billion) worth of U.S. goods—ranging from Boeing aircraft and cars to bourbon whiskey—should ongoing trade negotiations with Washington fail.

This move comes in response to U.S. President Donald Trump's threat to impose a 30% tariff on EU imports starting August 1, a proposal European officials have condemned as unacceptable and potentially disastrous for transatlantic trade.

A draft list of targeted goods, circulated among EU member states and seen by Reuters, includes chemicals, medical devices, precision instruments, electrical equipment, agricultural products, and various food and drink items valued at €6.35 billion. The list was prepared before Trump’s latest escalation and is tied to existing U.S. tariffs on cars, auto parts, and a baseline 10% levy.

After a meeting of EU ministers in Brussels on Monday, officials confirmed that while negotiations remain the priority, the bloc is also readying countermeasures. EU trade chief Maroš Šefčovič described the resolve among member states as “the strongest I’ve witnessed since discussions with the U.S. began.”

French Foreign Minister Jean-Noël Barrot denounced Trump’s new threat as “blackmail,” asserting that while a trade deal is desirable, it must not come at the expense of European sovereignty. “We will not become a vassal of the United States,” he said.

Trump has warned the EU not to retaliate, vowing that the U.S. would match any European tariffs by increasing the rate to 30%.

Although the European Commission has yet to set specific tariff levels for the listed products, implementation will require approval from a majority of EU member states. Typically, the Commission proceeds with countermeasures unless at least 15 countries oppose them.

The EU's drinks industry, particularly vulnerable to U.S. market shifts, has been lobbying to exclude items such as bourbon, wine, and spirits from the list. France, Spain, and Italy have raised concerns over the potential economic fallout.

Alcoholic beverages were excluded from the EU’s first tariff package, which targeted €21 billion in U.S. goods. That package was suspended in April to allow space for negotiations, and the suspension has now been extended until August 6.

Despite tensions, European markets edged higher on Tuesday, led by gains in automotive stocks, after Trump signalled openness to continued dialogue with the EU and other trade partners.

The current package of potential EU countermeasures was initially introduced in May for public consultation, targeting €95 billion in U.S. goods. It has since been reduced, but core items remain on the list.

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