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And your suggestion of what the EU should do if the U.S. hits them with high tariffs is what?
I think you misunderstood me. A tariff is a tax CITIZENS pay. Whoever imports the products pays the tariff, for instance Walmart. Since Walmart isn't going to pay the extra money out of the kindness of their heart. They pass it along to the consumer. In fact, they do worse than that, they raise the price MORE than the tariff and on products that aren't even part of the tariff. The only possible way this could hurt the EU is if sales drop because their products have been made more expensive. But the truth is, it makes ALL products more expensive. It is therefore my OPINION that the tariffs won't substantially impact EU exporters to the US because their products will effectively be the same price as comparable US goods. So no real deterrent to the consumer just to buy whichever product they want, which could be the one from the EU. Sales may indeed drop, because ALL of the sales drop due to massive inflation.
So if the EU retaliates, and I'm not saying they shouldn't, the real losers will just be the citizens of BOTH the EU and the US. Hence my comment that the EU sees the US taxing it's own citizens and concludes they should too should tax their own citizens.
Anyway, this is the way I see it.
I do not assume that the US will continue to be a reliable trade partner going forward. Your logic works in a world with rational actors, where trade between Europe and the US is desirable. However, with Trump as President, the US is clearly ceasing to be a rational actor. It is desirable for the EU to cut back its dependence on the US. It would be bad for the incoming administration to be in a position to coerce Europe through economic means.
Also, by failing to control its monopolistic enterprises, many US tech companies are trampling over the rights and privacy of EU citizens. It is desirable for us to cultivate homegrown options, rather than continuing to let American megacorps walk all over us. Reducing trade volume is a rational choice, despite the short term economic pains.
There are political arguments for tariffs. I don't think your economic arguments are likely to persuade too many. In a more rational world, I'd agree with you. And I do very much regret that it has come to this point where I'm in favor of protectionism from the US.
Well that may be true for tech companies but as far as products go you should be more concerned about China. America doesn't make much anymore.