Trump wants to put pressure on the European Union by increasing duties to European goods to 15 percent. Europe is preparing countermeasures, including limiting the access of US companies to public procurement.
US officials have announced the European Union (EU) that President Donald Trump will demand further concessions in the Commercial Agreement, including a 15 % basic duty or more to most European goods. This was stated on Sunday (20 July) Wall Street Journal (WSJ), referring to sources informed about negotiations. TASR reports this based on the Businessstimes portal report.
This step was surprised by the EU negotiators who were preparing to receive a 10 %basic duty. Germany, which had previously pushed for a compromise, joined France, which is a harder attitude of Europe, the report said.
In response to these reports, the EU Member States are urging the European Commission to prepare countermeasures, including tariffs to US goods, restriction of digital services, and restricting US companies’ access to public procurement, the report continues. EU officials are also considering activation of the rarely used pressure block (anti -Caertion Instrument – ACI), which allows retaliatory commercial and investment measures, WSJ said.
Despite the growing tensions at the negotiations, both parties still hope to reach an agreement before the deadline set by Trump on August 1. The Minister of Commerce Lutnick expressed optimism on the EU agreements on Sunday, but European diplomats warned that if negotiations fail, they will take retaliatory steps. Between the US and the EU, goods and services are flowing daily for more than $ 5 billion (€ 4.29 billion). This makes their dispute one of the most serious global trade, adds WSJ.
