Gina Smialek

With this court case, it's now unclear whether he'll ultimately be able to use those across-the-board tariffs to try and sort of wrestle the EU into a negotiating position. But even if it turns out that the original decision stands and that he cannot use the 50% tariffs, the EU is not totally out of the woods.

With this court case, it's now unclear whether he'll ultimately be able to use those across-the-board tariffs to try and sort of wrestle the EU into a negotiating position. But even if it turns out that the original decision stands and that he cannot use the 50% tariffs, the EU is not totally out of the woods.

There's still some serious risks that the Trump administration could use other tariffs to kind of force it to bow to the administration's will, including sectoral tariffs on things like pharmaceuticals, which are a major export for the EU.

There's still some serious risks that the Trump administration could use other tariffs to kind of force it to bow to the administration's will, including sectoral tariffs on things like pharmaceuticals, which are a major export for the EU.

So essentially, the Trump administration might not be able to use this sort of preferred tool of just ratcheting up tariffs, but it might have other options in its back pocket that could be, if not equally bad, at least very bad for somewhere like the European Union. And so I think the upshot here is that this is a new chapter in the trade war, but the trade war is definitely not over.

So essentially, the Trump administration might not be able to use this sort of preferred tool of just ratcheting up tariffs, but it might have other options in its back pocket that could be, if not equally bad, at least very bad for somewhere like the European Union. And so I think the upshot here is that this is a new chapter in the trade war, but the trade war is definitely not over.