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EU’s Kallas questions US rationale for tariffs on bloc, seeks clarification

Cyprus Mail · 2026-07-24

AI SUMMARY

• What happened: EU foreign policy chief Kaja Kallas criticized the U.S. for imposing new tariffs on European goods, calling the allegations of inadequate forced labour controls unfounded. • Why it matters: Kallas emphasized the strength of EU labour laws and expressed concern that the tariffs undermine a previous transatlantic trade agreement, highlighting ongoing tensions between the EU and U.S. over trade policies. • What to watch next: The EU plans to seek clarification from Washington regarding the rationale for the tariffs, while continuing to implement sanctions against Russia amid the ongoing conflict in Ukraine.

**Title: EU’s Kallas Questions US Tariffs on European Goods, Seeks Clarification**

European Union foreign policy chief Kaja Kallas has expressed concerns regarding the recent imposition of tariffs by the United States on goods from the EU. Speaking to Reuters on the sidelines of ASEAN meetings in Manila, Kallas described the U.S. allegations of inadequate enforcement of forced labour bans within the EU as unfounded.

Kallas emphasized the strength of the EU's labour laws, stating, "You can’t say that for the European Union. If you compare our labour laws to the ones of the United States, I mean, we have paid vacations, we have very good labour conditions for our employees, so it’s not really grounded." Her comments come in response to the Trump administration's decision to impose new tariffs of 10% and 12.5% on goods from 60 trading partners, including the EU, just as a temporary 10% global tariff was set to expire.

When asked if the EU had anticipated being included in the U.S. tariff actions, Kallas remarked, "Who can keep track of the tariffs going on and off? No, we were not expecting this." The tariffs are part of a broader strategy by the Trump administration to restore a near-global tariff framework, following a Supreme Court ruling that invalidated "reciprocal" tariffs previously imposed under emergency powers aimed at reducing the U.S. trade deficit.

Kallas indicated that the EU would seek clarification from Washington regarding the rationale behind the tariffs. She noted that the EU had adhered to commitments made under a transatlantic trade agreement established the previous year, describing the new tariffs as a "negative surprise" that undermined that agreement. "We had a deal with America and we have kept to that deal, that side of the deal," she stated.

In addition to her comments on tariffs, Kallas addressed the EU's ongoing sanctions against Russia, which are intended to increase pressure on Moscow and limit its capacity to finance the war in Ukraine. "It is to deprive them of the financing of this war," she explained. Kallas asserted that the sanctions were having a measurable impact on Russia's economy and its ability to secure capital internationally.

The EU recently approved its 21st sanctions package against Russia, which includes restrictions on the country's banking sector and cryptocurrency networks. Kallas reiterated that sanctions are just one component of a comprehensive European strategy aimed at compelling Russia to engage in serious negotiations with Ukraine. "We have different elements of this approach. The sanctions are just one of them," she said, highlighting the EU's multifaceted efforts to foster dialogue between Russia and Ukraine.

As tensions between the EU and the U.S. over trade policies and sanctions continue to evolve, Kallas's statements reflect the EU's commitment to maintaining its labour standards and addressing geopolitical challenges through coordinated diplomatic efforts.

Source: Cyprus Mail
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