EU Prepares 'Trade Bazooka' and €93 Billion Tariffs Against Trump's New Threat

• US President Donald Trump announced 10% tariffs on several European nations from February 1, rising to 25% by June 1, over a dispute concerning Greenland.
• The EU is considering activating its Anti-Coercion Instrument (ACI), dubbed the 'trade bazooka,' to counter US economic pressure.
• The ACI allows the EU to impose retaliatory tariffs, restrict market access, limit services trade, curb investment, and block public procurement.
• European leaders are preparing retaliatory measures, including €93 billion in previously suspended duties, while emphasizing diplomacy.
• Economists warn of escalating tariffs weakening economies, increasing uncertainty, and disrupting global supply chains, potentially leading to a 'dangerous downward spiral' in transatlantic relations.

Why It Matters: The EU is readying its 'trade bazooka' and retaliatory tariffs to counter Trump's new tariff threat.