Trump's tariff threat sparks EU negotiation scramble
The President of the European Commission, Ursula von der Leyen, announced on Sunday on platform X that she had a "good call" with US President Donald Trump. The topic was the tariffs imposed on the EU by the American administration.
What do you need to know?
- European Union is ready for swift negotiations with the USA, aiming to reach an agreement by July 9.
- Donald Trump has threatened to impose 50% tariffs on imports from the EU starting June 1, prompting a reaction from the European Commission.
- German Finance Minister Lars Klingbeil has called on the USA for serious negotiations, emphasizing that the tariffs could harm both the American and European economies.
What are the positions of the EU and the USA?
"Europe is ready to advance talks swiftly and decisively. To reach a good deal, we would need the time until July 9," Ursula von der Leyen wrote on X.
The head of the EC assured that "the EU and US share the world’s most consequential and close trade relationship."
On Friday, Trump stated that he "is not looking for a deal" with the European Union and threatened to impose 50% tariffs on imports from the EU starting June 1.
Will the tariffs affect economies?
The European Commission reacted to Trump's threats by calling on the USA to enter negotiations.
"The EU's fully engaged, committed to securing a deal that works for both. remains ready to work in good faith," said the EU Trade Commissioner Maros Sefcovic. Meanwhile, German Finance Minister Lars Klingbeil warned that American tariffs could harm both the US and European economies.
What are the possible consequences?
At the beginning of May, the EU threatened to impose tariffs on imports from the USA, including cars and airplanes, valued at approximately 95 billion EUR (108 billion USD) if negotiations do not yield results. The European Commission also announced plans to bring the matter to the World Trade Organization.
In recent months, the US administration has imposed tariffs on the European Union three times, further complicating the situation.
