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2025-04-21

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The United States cuts its budget by 10 trillion! The European Union plans to retaliate, with one industry becoming the focus of countries' revenge.

The United States cuts its budget by 10 trillion! The European Union plans to retaliate, with one industry becoming the focus of countries' revenge.
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U.S. President Trump announced high tariffs on imported goods from 185 countries, igniting trade warfare. Although the U.S. is in a trade deficit in goods, the service trade shows strong advantages, with annual revenue approaching $300 billion. The European Union has formulated a response strategy, primarily targeting the U.S. service industry as a countermeasure, and may activate "anti-coercion tools" to retaliate against the U.S. high tariff policies, which will directly impact America's high-revenue industries, especially in the technology and finance sectors.

The United States holds an advantage in the service trade sector and may become a target for retaliation from various countries.

Recently, the President of the United States announced high tariffs on imported goods from 185 countries, causing the trade war to heat up again. Although the United States has long shown a trade deficit in goods, it possesses a significant advantage in service trade, with annual revenue nearing $300 billion (approximately NT$9.9 trillion). EU officials have stated that the EU has devised a response strategy, focusing on the U.S. service industry as the main target for countermeasures.

According to reports, the United States is the world's largest exporter of services, covering high-value sectors such as finance, tourism, engineering, healthcare, and cloud technology. Many of these services are exported digitally, for example, foreign tourists spending in the U.S., international audiences subscribing to streaming platforms, and businesses purchasing U.S. cloud services. These digital services continue to bring considerable profits to the United States.

Reports indicate that the U.S. service trade surplus is expected to reach $300 billion in 2024; economists estimate that the trade surplus from digital content and services alone could be as high as $600 billion (approximately NT$19.9 trillion), nearly equivalent to France's total annual exports.

Experts from the Eurasia Group stated, "Europe's real bargaining chip lies in the service sector." They pointed out that the high tariff policies of the U.S. have triggered a chain reaction, with multiple European countries considering shifting the focus of their countermeasures to service trade. The EU is also prepared to activate the "anti-coercion instrument" legislation, which will grant member states extensive retaliation measures, potentially including raising barriers for service imports, restricting market access, and rewriting intellectual property laws to directly counter the U.S. tariff policy.

EU officials mentioned that in recent years, the EU has strengthened regulations on tech giants, such as Google, Apple, and Meta, forcing these companies to adjust their operational policies in the European market. If the EU takes formal action, it will not only impact the most profitable industries in the U.S. but also directly affect tech companies in Silicon Valley and financial institutions on Wall Street, putting significant economic pressure on the United States.