Europeans and Iran meet in Istanbul as the return of sanctions looms over nuclear deadlock
ISTANBUL — Iranian and European diplomats met Friday in Istanbul to embark on the latest drive to unpick the deadlock over Tehran's nuclear program.
Representatives from Britain, France and Germany, known as the E3 nations, gathered at the Iranian consulate building for the first talks since Iran's 12-day war with Israel in June, which involved U.S. bombers striking nuclear-related facilities.
The talks are centered on the possibility of reimposing sanctions on Iran that were lifted in 2015 in exchange for Iran accepting restrictions and monitoring of its nuclear program.
The return of sanctions, known as a 'snapback' mechanism, 'remains on the table,' according to a European diplomat speaking on condition of anonymity due to the sensitivity of the talks.
'A possible delay in triggering snapback has been floated to the Iranians on the condition that there is credible diplomatic engagement by Iran, that they resume full cooperation with the IAEA (International Atomic Energy Agency), and that they address concerns about their highly-enriched uranium stockpile,' the diplomat said.
European leaders have said sanctions will resume by the end of August if there is no progress on containing Iran's nuclear program.
Tehran, meanwhile, has said the U.S., which withdrew from the 2015 deal during President Donald Trump 's first term, needs to rebuild faith in its role in negotiations.
Deputy Foreign Minister Kazem Gharibabadi said Iran's engagement was dependent on 'several key principles' that included 'rebuilding Iran's trust – as Iran has absolutely no trust in the United States.'
In a social media post Thursday, he also said the talks shouldn't be used 'as a platform for hidden agendas such as military action.' Gharibabadi insisted that Iran's right to enrich uranium 'in line with its legitimate needs' be respected and sanctions removed.
Iran has repeatedly threatened to leave the Nuclear Nonproliferation Treaty, which commits it to refrain from developing nuclear weapons, if sanctions return.
Friday's talks were being held at the deputy ministerial level, with Iran sending Deputy Foreign Minister Majid Takht-e Ravanchi. A similar meeting was held in Istanbul in May. The identity of the E3 representatives were not immediately clear but the European Union's deputy foreign policy commissioner was thought to be attending.
The U.K., France and Germany were signatories to the 2015 deal, alongside the U.S., Russia and China. When the U.S. withdrew in 2018, Trump insisted the agreement wasn't tough enough. Under the original deal, neither Russia nor China can veto reimposed sanctions.
Since the Israeli and U.S. strikes on Iran, which saw American B-52 bombers hit three nuclear sites, Iran's Foreign Minister Abbas Araghchi has accused the E3 of hypocrisy, saying they failed to uphold their obligations while supporting Israel's attacks.
Against the backdrop of the conflict, which saw Iran respond with missile attacks on Israel and a strike on a U.S. base in Qatar, the road ahead remains uncertain.
While European officials have said they want to avoid further conflict and are open to a negotiated solution, they have warned that time is running out.
Tehran maintains it is open to diplomacy, though it recently suspended cooperation with the IAEA.
A central concern for Western powers was highlighted when the IAEA reported in May that Iran's stockpile of uranium enriched to 60% – just below weapons-grade level – had grown to over 400 kilograms (882 pounds).
In an interview with Al Jazeera that aired Wednesday, Iranian President Masoud Pezeshkian said Iran is prepared for another war and reiterated that its nuclear program will continue within the framework of international law while adding the country had no intention of pursuing nuclear weapons.
A spokesman for Iran's Atomic Energy Organization said Thursday the country's nuclear industry would 'grow back and thrive again' after the recent attacks by Israel and the U.S.
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Andrew Wilks And Amir Vahdat, The Associated Press
Vahdat reported from Tehran, Iran. Associated Press writer Stephanie Lichtenstein in Vienna contributed to this report.
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Winnipeg Free Press
16 minutes ago
- Winnipeg Free Press
US-EU trade deal wards off further escalation but will raise costs for companies and consumers
FRANKFURT, Germany (AP) — President Donald Trump and European Commission President Ursula von der Leyen have announced a sweeping trade deal that imposes 15% tariffs on most European goods, warding off Trump's threat of a 30% rate if no deal had been reached by Aug. 1. The tariffs, or import taxes, paid when Americans buy European products could raise prices for U.S. consumers and dent profits for European companies and their partners who bring goods into the country. Here are some things to know about the trade deal between the United States and the European Union: What's in the agreement? Trump and von der Leyen's announcement, made during Trump's visit to one of his golf courses in Scotland, leaves many details to be filled in. The headline figure is a 15% tariff rate on 'the vast majority' of European goods brought into the U.S., including cars, computer chips and pharmaceuticals. It's lower than the 20% Trump initially proposed, and lower than his threats of 50% and then 30%. Von der Leyen said the two sides agreed on zero tariffs on both sides for a range of 'strategic' goods: Aircraft and aircraft parts, certain chemicals, semiconductor equipment, certain agricultural products, and some natural resources and critical raw materials. Specifics were lacking. She said the two sides 'would keep working' to add more products to the list. Additionally, the EU side would purchase what Trump said was $750 billion (638 billion euros) worth of natural gas, oil and nuclear fuel to replace Russian energy supplies, and Europeans would invest an additional $600 billion (511 billion euros) in the U.S. What's not in the deal? Trump said the 50% U.S. tariff on imported steel would remain; von der Leyen said the two sides agreed to further negotiations to fight a global steel glut, reduce tariffs and establish import quotas — that is, set amounts that can be imported, often at a lower rate. Trump said pharmaceuticals were not included in the deal. Von der Leyen said the pharmaceuticals issue was 'on a separate sheet of paper' from Sunday's deal. Where the $600 billion for additional investment would come from was not specified. And von der Leyen said that when it came to farm products, the EU side made clear that 'there were tariffs that could not be lowered,' without specifying which products. What's the impact? The 15% rate removes Trump's threat of a 30% tariff. It's still much higher than the average tariff before Trump came into office of around 1%, and higher than Trump's minimum 10% baseline tariff. Higher tariffs, or import taxes, on European goods mean sellers in the U.S. would have to either increase prices for consumers — risking loss of market share — or swallow the added cost in terms of lower profits. The higher tariffs are expected to hurt export earnings for European firms and slow the economy. The 10% baseline applied while the deal was negotiated was already sufficiently high to make the European Union's executive commission cut its growth forecast for this year from 1.3% to 0.9%. Von der Leyen said the 15% rate was 'the best we could do' and credited the deal with maintaining access to the U.S. market and providing 'stability and predictability for companies on both sides.' What is some of the reaction to the deal? German Chancellor Friedrich Merz welcomed the deal which avoided 'an unnecessary escalation in transatlantic trade relations' and said that 'we were able to preserve our core interests,' while adding that 'I would have very much wished for further relief in transatlantic trade.' The Federation of German Industries was blunter. 'Even a 15% tariff rate will have immense negative effects on export-oriented German industry,' said Wolfgang Niedermark, a member of the federation's leadership. While the rate is lower than threatened, 'the big caveat to today's deal is that there is nothing on paper, yet,' said Carsten Brzeski, global chief of macro at ING bank. 'With this disclaimer in mind and at face value, today's agreement would clearly bring an end to the uncertainty of recent months. An escalation of the US-EU trade tensions would have been a severe risk for the global economy,' Brzeski said. 'This risk seems to have been avoided.' What about car companies? Asked if European carmakers could still sell cars at 15%, von der Leyen said the rate was much lower than the current 27.5%. That has been the rate under Trump's 25% tariff on cars from all countries, plus the preexisting U.S. car tariff of 2.5%. The impact is likely to be substantial on some companies, given that automaker Volkswagen said it suffered a 1.3 billion euro ($1.5 billion) hit to profit in the first half of the year from the higher tariffs. Monday Mornings The latest local business news and a lookahead to the coming week. Mercedes-Benz dealers in the U.S. have said they are holding the line on 2025 model year prices 'until further notice.' The German automaker has a partial tariff shield because it makes 35% of the Mercedes-Benz vehicles sold in the U.S. in Tuscaloosa, Alabama, but the company said it expects prices to undergo 'significant increases' in coming years. What were the issues dividing the two sides? Before Trump returned to office, the U.S. and the EU maintained generally low tariff levels in what is the largest bilateral trading relationship in the world, with some 1.7 trillion euros ($2 trillion) in annual trade. Together the U.S. and the EU have 44% of the global economy. The U.S. rate averaged 1.47% for European goods, while the EU's averaged 1.35% for American products, according to the Bruegel think tank in Brussels. Trump has complained about the EU's 198 billion-euro trade surplus in goods, which shows Americans buy more from European businesses than the other way around, and has said the European market is not open enough for U.S.-made cars. However, American companies fill some of the trade gap by outselling the EU when it comes to services such as cloud computing, travel bookings, and legal and financial services. And some 30% of European imports are from American-owned companies, according to the European Central Bank.
Globe and Mail
an hour ago
- Globe and Mail
U.S. and European Union reach trade pact that sets 15-per-cent tariff on EU goods
The United States struck a framework trade deal with the European Union Sunday that imposes a 15-per-cent U.S. import tariff on most EU goods, including autos, and leaves 50-per-cent levies on steel and aluminum shipments from the continent. The announcement came after European Commission President Ursula von der Leyen travelled to western Scotland for talks with U.S. President Donald Trump at his golf course there. Ms. von der Leyen said the agreed-upon 15-per-cent tariff applies 'across the board' to U.S.-bound shipments from the EU. The deal, while short on details, also includes a commitment by the EU to make US$600-billion of investments in the United States, and to make significant purchases of U.S. energy and military equipment. 'It's a huge deal. It will bring stability. It will bring predictability,' she said. The Editorial Board: Trump's tariff shakedown takes shape The agreement largely mirrors a framework deal that the U.S. clinched with Japan last week, where Japanese automobiles will face a 15-per-cent U.S. tariff but U.S. steel and aluminum levies of 50 per cent remain in place. And it arrives at a critical moment in Canada's own trade negotiations with the Trump administration. Prime Minister Mark Carney faces an Aug. 1 deadline to strike a deal before the White House raises an existing tariff on Canadian goods. Mr. Carney and Mr. Trump have both signalled that a deal by the beginning of next month may not happen, with Mr. Carney saying he will accept only the best deal for Canada. On the U.S.-EU deal, Mr. Trump said: 'We are agreeing that the tariff ... for automobiles and everything else will be a straight across tariff of 15 per cent. Steel is staying the way it is – that's a worldwide thing,' the U.S. President said of his tariffs on foreign steel. Mr. Trump, who is seeking to reorder the global economy and reduce decades-old U.S. trade deficits with trading partners, has so far also signed agreements with Britain, Indonesia and Vietnam. By comparison, the trade deal the President struck with Britain in May would see British cars subject to a 10-per-cent tariff up to 100,000 vehicles and on shipments above, a 25-per-cent rate. Mr. Trump talked up the new agreement as 'the biggest of all the deals,' with total trade between the U.S. and the EU totalling US$976-billion in 2024, according to the Office of the U.S. Trade Representative. Given the size of this relationship, the agreement could set a precedent for future U.S. deals, including with Canada. Opinion: Canada, we've already got Trump's best trade deal Since returning to office earlier this year, Mr. Trump has hit Canada with a string of tariffs: 50 per cent on steel and aluminum; 25 per cent on autos; and 25 per cent on any goods traded outside the United States-Mexico-Canada Agreement, with the exception of oil, gas and potash, at 10 per cent. He has threatened to increase the non-USMCA tariff to 35 per cent if there is no deal by Aug. 1. William Pellerin, a partner with McMillan LLP's international trade group, said the fact that Mr. Trump doesn't appear to be cutting steel and aluminum tariffs, or agreeing to lower baseline tariffs with key trading partners, is not a good sign for Canada. The details of recent deals 'show that the tariffs are stickier than we might have anticipated, even for developed economies and close U.S. allies, which is certainly a bit of a bad omen in some ways for Canada,' Mr. Pellerin said. He said the silver lining for Canada is it 'doesn't look like anyone's going to get better market access to the United States than Canada, even if we do get stuck with a baseline tariff.' Goldy Hyder, president of the Business Council of Canada, said Canada and Mexico are in a different position from other countries. This is both because of the White House rationale for the 25-per-cent tariff on most Canadian and Mexican goods – Mr. Trump cited illegal fentanyl smuggling as one reason – and because of the exemption for products traded in compliance with the USMCA. Campbell Clark: Mark Carney faces the politics of concession Japan and the European Union did not qualify for a USMCA-style exemption and therefore had to 'buy down' tariffs with major commitments to purchase U.S. goods or make investments in the United States, he noted. Mr. Hyder said Canada needs to preserve its special access under the USMCA, which is up for renegotiation in 2026, or possibly sooner. 'Our goal has to be keeping the exemption, and that means preserving and extending the USMCA must be our top priority.' There are some significant trade differences between Canada and the EU – and they work in Canada's favour. For one, Canada is the top destination for U.S. goods exports, according to the USTR, bringing in US$349-billion worth of American goods in 2024. Canada also has a much smaller trade surplus with the U.S. than the EU. Mr. Trump has taken particular issue with such imbalances, which he considers unfair − even when they benefit American consumers. Canada also has an intricately linked supply chain with the U.S. in multiple industries, including automobiles and energy, with many products shipped back and forth across the Canada-U.S. border many times before they are sold to end users. The two countries also have an existing trade agreement, the USMCA, which Mr. Trump negotiated during his first term. Throughout months of talks, European officials threatened reciprocal tariffs on the U.S. and prepared a retaliatory package of tariffs of up to 30 per cent against €92-billion worth of U.S. exports. In the end, however, the EU will not retaliate, despite now facing 15-per-cent tariffs across most goods. Explaining her rationale, the EU's Ms. von der Leyen told reporters that the deal will bring 'stability' and 'predictability.' Yet many key elements of the trade relationship between the U.S. and the EU remain uncertain. For now, Mr. Trump is maintaining his 50-per-cent tariff on steel. And while pharmaceuticals will initially fall under Sunday's 15-per-cent agreement, that is subject to change. More details are also needed on the purchase and investment promises. The EU agreed to purchase US$750-billion worth of American energy products and to also invest US$600-billion in the United States on top of existing expenditures, but it is not clear who will make these investments or how they will be enforced. A similar investment agreement was made by Japan when it announced its own trade deal with the U.S. last week. But within days, Japanese officials started pouring cold water on some of the terms. Mr. Trump had claimed that the U.S. would make 90 per cent of profits on Japanese investments into the U.S., but Japan later pushed back and said its understanding was that profits would be based on the contribution made, and the risk taken, by each party. Tony Keller: As Trump's tariff walls rise, Canada's negotiating leverage is shrinking While Mr. Trump remains far from his initial goal of signing 90 trade deals in 90 days, stock-market investors have been reassured that agreements with major developed countries and regions are finally coming in and that the 15-per-cent tariff rates with major economies are lower than the levels Mr. Trump had threatened during the negotiations. However, 15-per-cent tariffs are much higher than the equivalent rates at the start of the year, and it isn't clear yet who will absorb them − companies or American consumers − because so far, price increases have been muted after companies piled up inventory early in the year. There are signs, however, that some pain is coming − particularly in sectors that Mr. Trump has singled out, including automobiles and steel. Volkswagen reported earnings on Friday and said tariffs cost the company €1.3-billion over the first six months of the year, and that going forward, the German car maker is lowering its operating profit to a range of 4 per cent to 5 per cent for 2025, down from 5.5 per cent to 6.5 per cent.
The Province
5 hours ago
- The Province
How Trump could complicate Canada's 2026 World Cup hosting plans
'No one wants to go to the World Cup to watch some soccer games and then end up in jail,' says professor of sports economy Published Jul 27, 2025 • Last updated 7 hours ago • 5 minute read U.S. President Donald Trump celebrates with members of Chelsea FC after they won the FIFA Club World Cup in July. U.S. immigration policy under Trump is raising concern about travel, safety and cross-border cooperation for the co-hosted 2026 FIFA World Cup. Photo by David Ramos / Getty Images With less than a year to go until the 2026 World Cup, political tensions and U.S. policy threaten to pose problems as Canada, the United States and Mexico prepare to co-host the tournament. This advertisement has not loaded yet, but your article continues below. THIS CONTENT IS RESERVED FOR SUBSCRIBERS ONLY Subscribe now to read the latest news in your city and across Canada. Exclusive articles by top sports columnists Patrick Johnston, Ben Kuzma, J.J. Abrams and others. Plus, Canucks Report, Sports and Headline News newsletters and events. Unlimited online access to The Province and 15 news sites with one account. The Province ePaper, an electronic replica of the print edition to view on any device, share and comment on. Daily puzzles and comics, including the New York Times Crossword. Support local journalism. SUBSCRIBE TO UNLOCK MORE ARTICLES Subscribe now to read the latest news in your city and across Canada. Exclusive articles by top sports columnists Patrick Johnston, Ben Kuzma, J.J. Abrams and others. Plus, Canucks Report, Sports and Headline News newsletters and events. Unlimited online access to The Province and 15 news sites with one account. The Province ePaper, an electronic replica of the print edition to view on any device, share and comment on. Daily puzzles and comics, including the New York Times Crossword. Support local journalism. REGISTER / SIGN IN TO UNLOCK MORE ARTICLES Create an account or sign in to continue with your reading experience. Access articles from across Canada with one account. Share your thoughts and join the conversation in the comments. Enjoy additional articles per month. Get email updates from your favourite authors. THIS ARTICLE IS FREE TO READ REGISTER TO UNLOCK. Create an account or sign in to continue with your reading experience. Access articles from across Canada with one account Share your thoughts and join the conversation in the comments Enjoy additional articles per month Get email updates from your favourite authors Next year's FIFA World Cup will be the biggest ever, with the three countries hosting a record 48 teams. Between June 11 and July 19, they will play 104 matches, most of them in the U.S. With millions of fans expected to cross borders to attend the games, U.S. President Donald Trump's harsh immigration policies — which include travel bans on some countries, immigration raids and mass deportations — are generating anxiety. 'This is all being driven by the United States. And we're entirely the guilty party here,' said Victor Matheson, a professor at College of Holy Cross in Massachusetts who specializes in sports economics. 'You could have significant immigration problems with fans and players going across borders.' This advertisement has not loaded yet, but your article continues below. The U.S. has travel bans in place for 12 countries and restrictions in place for seven, and is considering banning travellers from another 36 countries. Though there are exemptions for athletes, staff and families, the unpredictability of Trump's administration means no one knows for certain what kind of rules might be in place by the time the tournament starts. No one wants to go to the World Cup to watch some soccer games and then end up in jail. Economist Andrew Zimbalist, who wrote a book on the economics of hosting the World Cup, said Trump has the ability to make it difficult for people to travel, but it's not clear whether he will actually do so. 'I think probably Trump himself might not have the answers because … he responds very impetuously to changes in his environment,' he said. Concerns about visas or political opposition to Trump might lead some soccer fans to decide not to attend at all, while others opt to attend the games in Canada instead, Zimbalist suggested. But he also pointed out that the quarter, semifinals and final are all taking place in the U.S. Essential reading for hockey fans who eat, sleep, Canucks, repeat. By signing up you consent to receive the above newsletter from Postmedia Network Inc. Please try again This advertisement has not loaded yet, but your article continues below. A spokesperson for Canadian Heritage said Canada could see a million international visitors during the tournament. 'Given the tri-national nature of the event, it is anticipated that international and domestic travellers will move back and forth between Canada and the United States. The focus will continue to be on the flow of movement, the safety of travellers and the security of the borders,' the spokesperson said. A spokesperson for the Canada Border Services Agency said the agency is working closely with federal government departments, host cities and FIFA 'in the safety and security planning for this international event.' How much do premium Toronto, Vancouver FIFA World Cup tickets cost right now? Here's what we know Matheson said fans — particularly those from countries that have found themselves in Trump's crosshairs — have good reasons to be worried. This advertisement has not loaded yet, but your article continues below. 'I would be very concerned about planning a vacation that has you travelling from Mexico or from Canada into the United States and back. I don't think that you can guarantee that vacation of a lifetime is actually going to be there for you to actually take,' he said. He said it's one thing to be denied entry, another to end up in jail and deported — potentially to a prison in El Salvador. 'No one wants to go to the World Cup to watch some soccer games and then end up in jail,' he said. Trump's moves to impose tariffs on much of the world, including Canada, could also affect the World Cup. Matheson offered the example of someone who makes jerseys for a country's team who would want to ship those jerseys across the border with the team. This advertisement has not loaded yet, but your article continues below. 'Tariffs make that type of inventory management pretty challenging,' he said. Tim Elcombe is a professor at Wilfrid Laurier University whose areas of expertise include sports, politics and international affairs. He said 'there was a sense that having the event in Canada, the United States and Mexico would almost be a bit of a calming of the political waters,' as the cup returned to Western countries. Instead, he said, the 2026 tournament may be even more politically charged than the 2022 World Cup in Qatar. Canada's Alphonso Davies scores on a header during a game against Croatia at the 2022 World Cup in Qatar. Photo by PATRICK T. FALLON/AFP via Getty Images Canada is co-hosting one of world's biggest sporting events with a country whose president has instigated a trade war and threatened annexation. Canadians have cut travel to the U.S. and stopped buying American products — and it's not clear what all of that might mean for the World Cup. This advertisement has not loaded yet, but your article continues below. While Vancouver and Toronto will host some games, 'really this is an American-centric competition,' Elcombe said. 'So how will Canadians feel about this? Will we get behind it? Will it become the event I think they were hoping it would be?' In early July, labour and human rights groups, including Human Rights Watch, wrote to FIFA president Gianni Infantino to say U.S. policies under Trump pose a 'serious threat' to individuals, especially non-citizens. The letter accused FIFA of ignoring 'the clear evidence of the significant deterioration of the rights climate in the United States.' Elcombe said while the United States is likely to take the brunt of scrutiny, Canada is not immune. 'Canada is going to have to be prepared for a very critical eye in terms of focus on some of the issues in Canada from a human rights perspective, because I think they will be exposed,' he said, citing Canada's relationship with Indigenous Peoples as one example. This advertisement has not loaded yet, but your article continues below. MacIntosh Ross, a fellow at the Scott McCain and Leslie McLean Centre for Sport, Business and Health at Saint Mary's University, said Canada should put pressure on the U.S. government 'to make sure that things happen in a safe or as safe a manner as possible.' 'The Canadian organizers and the Canadian government need to be very clear about their expectations for their partners in this World Cup and reiterate them and state them over and over again,' he said. Elcombe noted Infantino, who has 'very much established himself as a friend and supporter of President Trump,' could be a key player in determining how the coming months unfold. U.S. President Donald Trump, left, and FIFA president Gianni Infantino at the 2025 Club World Cup final at MetLife Stadium on July 13, 2025 in East Rutherford, N.J. Photo by Alex Grimm / Getty Images It's difficult to predict what Trump might do, Zimbalist said. If there are political issues in the United States that he wants to distract people from, 'you can see him doing crazier and crazier things internationally to get people's minds off of what's actually happening.' This advertisement has not loaded yet, but your article continues below. But Trump also has shown that he cares about the World Cup and looking good as he hosts the tournament. 'I think he does care about image and he does care about being on the world stage,' Zimbalist said. 'So I can see that being a significant deterrent, actually.' Read More Our website is the place for the latest breaking news, exclusive scoops, longreads and provocative commentary. Please bookmark and sign up for our daily newsletter, Posted, here. Vancouver Canucks Vancouver Whitecaps News BC Lions Vancouver Whitecaps
