The European Union's executive commission said on Friday it would respond "firmly and immediately" to tariff increases resulting from US President Donald Trump's proposed "reciprocal" trade policy, calling it unjustified and a step in the wrong direction. "The European Union maintains some of the lowest tariffs in the world and there is no reason for the US to increase tariffs on European Union exports," the commission said in a statement. More than 70 per cent of imports enter the European Union duty-free, the commission said.