US trade war against the EU: instruments of protection and possible consequences of the conflict

Abstract

Problem setting. In the current economic environment, trade conflicts between the world's leading players are becoming increasingly important as factors of destabilization of international trade. The use of protectionist measures, such as higher duties and restrictions for foreign companies, indicates a paradigm shift in international trade cooperation.  In this context, it is important to analyze the tools used by the parties to protect their economic interests and assess the possible geo-economic and legal consequences of the conflict.

Analyses of recent researches and publications. Certain issues of trade wars have been reflected in the works of many domestic scholars, in particular, N. Reznikova, O. Ivashchenko and E. Aslanova studied the specifics of the unfolding of economic conflicts in the XXI century, O. Vasylytsia and M. Czech studied the consequences and scale of the impact of the trade war between the United States and China, V. Macedon and V. Loshak examined the impact of trade wars on the macroeconomic systems of countries around the world, S. Yakubovsky, T. Radionova and O. Babinchuk studied the causes and consequences of trade conflicts, and Y. Fedotova researched the preconditions for the emergence, types and mechanism of resolving conflict situations in international trade.

The purpose of the study is to analyze the trade confrontation between the US and the EU, to identify the main tools used by the parties to protect national economic interests, and to assess the potential economic and legal consequences of this conflict for the global trading system.

Article’s main body. The article analyzes the escalation of the trade conflict between the US and the EU caused by tariff and non-tariff restrictions, regulatory differences and technological competition. Particular attention is paid to the analysis of the main trade defense instruments used by the parties in response to economic pressure and restrictive measures. The preconditions of the trade war, the key economic and political consequences of the conflict for both sides, as well as for the global economy as a whole, are studied. Historical parallels and current measures of the US administration regarding steel and aluminum imports are highlighted. The article also examines the EU's trade defense policy, including anti-dumping measures, anti-subsidy mechanisms, and the introduction of safeguard duties.

Conclusions and prospects for the development. The authors conclude that the deterioration of trade relations between the world's largest economies could lead to significant economic shocks, including a slowdown in economic growth, a decline in international trade, and increased uncertainty for businesses. Further research should focus on the possible consequences of the trade confrontation between the US and the EU for Ukraine.