EUTariffStrategy

💥EU Dangles €50 Billion Trade Deal to Dodge Tariff Showdown with U.S.♦️

In a strategic move to defuse rising tensions, the European Union has proposed a €50 billion trade offer to the United States, aiming to avert a looming tariff war. The deal would see the EU ramp up imports of key American goods—including LNG, soybeans, and agricultural products—in an effort to shrink the trade imbalance that Washington has long criticized.

“If the €50 billion deficit is the issue, we can resolve it quickly,” said EU Trade Commissioner Maroš Šefčovič.

However, the EU is standing firm against the recently announced 10% U.S. tariffs, rejecting them as unjust and unbalanced. Instead, Brussels is pushing for a cooperative solution before the tariffs kick in this July. A potential 20% retaliatory tariff has been paused for now, allowing a 90-day window for negotiations.

Still, the EU isn’t leaving anything to chance. It has a €21 billion retaliatory tariff package ready to go—targeting U.S. products like Harley-Davidsons, poultry, and clothing—should talks collapse by the July 14 deadline.

At the same time, Europe is keeping the door open for broader cooperation with Washington, especially on challenges like China’s steel overcapacity and global tech competition.

Šefčovič summed it up: “We prefer diplomacy, but we’re fully prepared to respond.”

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