EU hopes for Trump tariff deal by July deadline after ‘good exchange'

Free Malaysia Today

2 days ago

President Donald Trump yesterday said the US was close to finalising several trade pacts. (AP pic)
BRUSSELS : The European Union still aims to reach a trade deal with the US by July 9 after commission president Ursula von der Leyen and US President Donald Trump had a 'good exchange', a commission spokesman said today.
It was not immediately clear, however, whether there had been a meaningful breakthrough in talks to stave off the imposition of sweeping tariff hikes on the US' largest trading partner.
The clock is ticking down on a deadline for countries around the world to conclude deals with the US after Trump unleashed a global trade war that has roiled financial markets and sent policymakers scrambling to protect their economies.
Trump touts tariff progress
As he keeps much of the world guessing, Trump yesterday said the US was close to finalising several trade pacts in coming days and would notify other countries by July 9 of higher tariff rates.
He said they would not take effect until Aug 1, a three-week reprieve.
He also put members of the developing nations' BRICS group in his sights as its leaders met in Brazil, threatening an additional 10% tariff on any countries aligning themselves with the 'anti-American' policies.
The BRICS group comprises Brazil, Russia, India and China and South Africa along with recent joiners Egypt, Ethiopia, Indonesia, Iran, and the UAE.
The EU has been torn over whether to push for a quick and light trade deal or back its own economic clout in trying to negotiate a better outcome.
It had already dropped hopes for a comprehensive trade agreement before the July deadline.
'We want to reach a deal with the U.S. We want to avoid tariffs,' the spokesman told reporters at a daily briefing.
'We want to achieve win-win outcomes, not lose-lose outcomes.'
In trade deals, 'time is money'
Without a preliminary agreement, broad US tariffs on most imports would rise from their current 10% to the rates set out by Trump on April 2.
In the EU's case that would be 20%.
Von der Leyen also held talks with the leaders of Germany, France and Italy at the weekend, Germany said.
German Chancellor Friedrich Merz has repeatedly stressed the need for a quick deal to protect industries vulnerable to tariffs ranging from cars to pharmaceuticals.
'Time is money in the truest sense of the word,' the German spokesman told reporters in Berlin.
'In this respect, we should give ourselves another 24 or 48 hours to come to a decision.'
Russia said the BRICS group had never tried to undermine other countries.
'It is very important to note here that the uniqueness of a group like BRICS is that it is a group of countries that share common approaches and a common world view on how to cooperate, based on their own interests,' said Kremlin spokesman Dmitry Peskov.
'And this cooperation within BRICS has never been and will never be directed against any third countries.'