Brussels: The European Commission President Ursula von der Leyen on Sunday signaled a "two-track approach" to US tariffs - talks and countermeasures "if necessary."

According to Anadolu Agency, von der Leyen emphasized the EU's preference for a negotiated solution during a joint news briefing with Indonesian President Prabowo Subianto in Brussels. She stated that the EU will use the time available until August 1 to pursue discussions. However, she also confirmed that the EU is prepared to respond with countermeasures if necessary, having already prepared and agreed upon a list of potential countermeasures.

Von der Leyen highlighted the importance of being ready for all potential scenarios but stressed that the current focus remains on negotiations. She announced the extension of the suspension of EU countermeasures against US tariffs until early August, allowing continued preparation of further measures. This suspension follows the EU's decision to pause its countermeasures to foster EU-US negotiations until July 14.

The commission president reiterated the need for the EU to diversify its trade relationships and strengthen the single market. She also disclosed a new agreement with Indonesia aimed at creating opportunities in key industries and enhancing the supply chains of critical raw materials.

Von der Leyen reported reaching a political agreement on a Comprehensive Economic Partnership Agreement (CEPA) with Indonesia. Indonesian President Subianto welcomed the agreement, highlighting its significance for economic and geopolitical stability and expressing a desire for increased European involvement in Indonesia's economy.

The announcement comes amid heightened tensions following US President Donald Trump's decision to impose 30% tariffs on EU and Mexican goods starting August 1, a move that endangers ongoing US-EU trade talks. Trump had communicated his decision in letters to von der Leyen and Mexican President Claudia Sheinbaum, shared via Truth Social.

In response, von der Leyen expressed the EU's willingness to work towards an agreement with the US by August 1, while also pledging to take necessary steps to protect EU interests, including implementing proportionate countermeasures.