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International Business Times

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INSANE: How tariffs in the eu work | Vintage Vibes

European Union EC Donald Trump The European Union Customs United States

If tariffs increase, the main question is whether companies pass on the additional costs to the consumer (Credit: AFP)

Customs duties, or tariffs, have become a political punching ball as the European Union prepares to respond to US President Donald Trump's recent offensive.

But what exactly do we mean when we talk about tariffs? How does the EU policy work? Who pays them and what are they for?

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