Trump toughens stance in EU trade talks
The negotiations between Brussels and Washington have been underway since early April, when Trump announced a set of measures aimed at protecting American manufacturers he called the 'Liberation Day.'
They included a blanket 10% tariff on all imports from the EU and most other US trading partners. The duties have been put on hold pending the talks, but the US president warned that they would grow to 30% if no deal is reached between Washington and Brussels by August 1. The tariffs would be applied on top of the existing sector-specific duties, such as 50% on steel, aluminum duties and 25% car imports levies introduced by the US earlier this year.
The Trump administration is hardening its stance in talks with the EU in order to test the bloc's 'pain threshold,' the FT said in an article on Friday.
According to the paper's sources, the president was also 'unmoved' by an offer from Brussels to reduce the 25% car tariffs and wants them to stay as they are.
EU Trade Commissioner Maros Sefcovic provided a 'downbeat' assessment of his recent discussions with the Americans during the meeting of the bloc's ambassadors on Friday, two people briefed on the matter said.
An EU diplomat has told the paper that if Trump insists on 15% to 20% duties, the EU would be forced to retaliate. Brussels has prepared several packages of counter-tariffs against Washington, but delayed their implementation until August 1.
"We do not want a trade war, but we do not know if the US will leave us a choice,' the source said.
A second EU diplomat stressed that 'the mood has clearly changed' in Brussels in favor of retaliation, adding that 'we are not going to settle at 15% percent.'
Washington has so far largely avoided retaliation for its tariffs, while collecting a record high of $64 billion in customs duties in the second quarter of 2025, according to the US Treasury.
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