EU Puts €50B Trade Deal on the Table for Trump Amid Tariff Tensions
Will it be Deal or Duel?
The European Union just made a bold move! In response to Trump’s looming 10% tariffs on EU goods, the EU has offered a €50B trade deal aimed at boosting imports of American products like LNG, soybeans, and agricultural goods.
What’s at stake?
Trump’s tariffs are set to hit in July, but the EU is pushing for a “balanced and fair” agreement before then. If no deal is reached, a €21B retaliatory tariff package is waiting in the wings — targeting iconic U.S. goods like Harley-Davidsons, poultry, and clothing.
Key Points:
The EU says it can close the €50B trade gap by increasing American imports.
Šefčovič, EU Trade Commissioner, says negotiations are making “certain progress” — but warns a 10% baseline tariff is “very high.”
The EU prefers diplomacy but is ready to strike back if needed.
Discussions also include carve-outs for sensitive sectors like autos.
Beyond tariffs:
Šefčovič says the EU wants to partner with the U.S. on bigger global trade issues, including China’s market behavior, semiconductors, and raw material supply chains.
Will diplomacy win — or are we heading into a full-blown trade war?
Time’s ticking, and July is around the corner.
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