(May 6): The European Union (EU) wants the main parts of a US trade deal adopted by July, as it pushed Washington to respect previous commitments made under the pact.
EU trade chief Maros Sefcovic conveyed the message to US Trade Representative Jamieson Greer during a meeting on Tuesday in Paris, according to a spokesperson from the European Commission, the EU’s executive arm.
“It would be beneficial for the main features of the deal to be in place ahead of its one-year anniversary,” the spokesperson said.
The US and EU are on the cusp of another trade blow-up after President Donald Trump said he would slap 25% tariffs on European cars and trucks, accusing the bloc of failing to honour its prior commitments.
Trump is frustrated that the EU is taking months to formally ratify a trade deal the two sides initially reached last July. But the EU insists it is simply going through its legislative process and aims to approve the agreement in June.
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Under the deal, the EU agreed to erase levies on US industrial goods in exchange for a 15% tariff ceiling on most European products, including vehicles. That means if Trump actually adopts the 25% car tariffs, it would breach the pledges made last year.
Sefcovic “called for a swift return to the agreed Turnberry terms, ie a 15% all-inclusive tariff rate, with the agreed carve-outs for the EU,” the spokesperson said, referencing the trade agreement, which was signed at Trump’s resort in Turberry, Scotland.
The EU has warned it is ready to retaliate, but would prefer to deescalate and preserve the existing trade pact.
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Europe is also smarting over Washington’s decision to widen a 50% metals tariff to hundreds of products that include steel and aluminium, like motorcycles and tableware. Recently, the US attempted to address Europe’s frustration, changing how the tariff was calculated and exempting some products. But it did little to help, with officials saying the tweak actually made the situation worse for roughly half of the affected products.
Sefcovic’s call to return to the 15% rate likely alluded to the widened metals tariff. He met with Greer ahead of a Wednesday gathering of Group of Seven trade ministers.
Trade is not the only area where transatlantic relations are souring. Trump has repeatedly threatened the Nato military alliance, trashed the EU’s tech rules and vented frustration as Europe’s refusal to provide military support for the US-Israeli war against Iran.
Trump even said he would yank 5,000 US troops from the country after German Chancellor Friedrich Merz said US negotiators were being “humiliated” in talks with Iran.
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