EU locked in Trump trade talks as ‘Liberation Day’ tariff deadline looms
The European Union and the United States have only 48 hours to solve a trade dispute or confront Donald Trump’s exposure of billions of dollars of transatlantic tariffs.
Upon the implementation of the US President’s “Liberation Day” import taxes, a 90 -day pause ends on Wednesday, and leaders in Europe are preparing for a 50 percent tariff threat on goods sold in the United States.
A division emerged in the block, some of them called for a UK -style agreement to solve the trade dispute of European trade commissioner Maros Sefcovic and protected the EU from the worst of Mr. Trump’s wrath.
Other EU leaders warned against the Thin England-US agreement adopted by Sir Keir Starmer and believe that Brussels should use their influence to achieve a more comprehensive agreement.
Mr. Trump imposed a 20 percent import tax on all EU -made products within the scope of a series of tariffs aimed at a series of tariffs that the US has trade imbalance. Hours after the entry into force of country -specific tasks, until July 9th, to silence the financial markets and to ensure time for negotiations, standard 10 percent.
However, while the talks were dragging, Mr. Trump threatened to increase the tariff rate to 50 percent if an agreement could not be reached. The higher ratio would hit everything from French cheese to Italian leather products, making them more expensive for American consumers.
The talks are now going to The Wire this week, teams who want to make a deal to avoid raising the trade war of Mr. Sefcovic and US Treasury Secretary Scott Bessent.
“We will have to reach an agreement at all costs to avoid a trade war, or if the agreement is not good enough of the agreement,“ he said. Guardian.
The German Chancellor Olaf Scholz calls for an agreement similar to the UK’s sector -specific agreement, while the French President Emmanuel Macron is willing to be a better and more comprehensive agreement if a rush agreement is irregular.
Mr. Trump previously threatened to apply 17 percent of European food and farm products as a part of the US aggressive negotiation tactics to apply 17 percent of tariffs, and the President once described the EU as “nastier” in trade.
An EU trade spokesman said on Friday, progress was made for an agreement last week, but negotiations continued during the weekend.
Without an agreement, the EU said it was ready to retaliate with tariffs in hundreds of American products from beef and car pieces to beer and Boeing planes.
Considering the complexity of the talks, it may be possible for the parties to reach a weak agreement only on Wednesday and leave certain tariffs in a 10 percent base level tariff and cars, steel and aluminum.
Before Mr. Trump was re -elected, the average tariff on the goods from the EU sold in the United States was only 2 percent.
Holger Schmieding, Germany’s Chief Economist of Berenberg Bank, said that the most likely outcome of the trade talks will accept the agreements that the US ‘retaliation’ tariffs are the worst of the worst threats beyond 10 percent, ”he said.
“However, the road to go there can be rocky.”
Offering exemptions for some goods, the United States can correct a way of agreement. The EU may propose to alleviate some regulations that the White House sees as trade barriers.
Mr. Schmieding added: “Although Trump can sell a ‘win’ for him, the final victims of his protectionism will of course be the US consumers.”
