Alabama is one of the states being targeted in the European Union’s current round of retaliatory tariffs, the latest move in a quickly escalating trade war with the United States.

The EU on Wednesday announced two rounds of potential tariffs, starting April 1.

The union plans 50% tariffs on imports of American whiskey, motorcycles and motorboats starting April 1, according to The Wall Street Journal.

A second set of levies would take effect in mid-April, on goods such as chewing gum, poultry, beef, white chocolate, soybeans, carpets and watermelons.

A list of possible products affected runs to 99 pages.

Canada also plans to place 25% reciprocal tariffs on steel products and raise duties on tools, computer equipment, sports equipment and cast-iron products, according to the Associated Press.

Tariffs are taxes on imports paid by companies to sell products in the U.S. Economists say companies are likely to pass the costs onto consumers.

Since President Donald Trump took office in January, his administration has announced several tariffs against the EU, China, Canada and Mexico. Trump’s stated goals through the tariffs include cracking down on Fentanyl entering the country and persuading industry to return to the U.S.

The Journal reported that the EU is targeting the duties to maximize the political and economic cost of tariffs for the U.S. while protecting European interests.

Trump on Wednesday vowed to retaliate, according to USA Today. “Of course I’m going to respond,” he said. “Look, the EU was set up in order to take advantage of the United States.”

EU officials have made clear that the tariffs are aimed at products made in Republican-held states. The AP named wood products from Alabama as one arena in the tariff dustup.

The tariffs will also hit blue states such as Illinois, the top producer of soybeans.

Produce in Alabama, Georgia and Virginia is also on the list, according to Fortune.

According to the E.U., the annual trade volume between the union and the U.S. is about $1.5 trillion, or 30 percent of global trade.

The state’s largest market for exports last year was Canada, according to the Alabama Department of Commerce. Alabama exported $4.3 billion in goods to Canada in 2024, representing 16 percent of the state’s total goods exports. Canada was followed by Mexico ($4.2 billion), China ($4.1 billion), Germany ($4.1 billion), and Japan ($880 million).