European officials have warned of the risk of long-term tariffs from the US, potentially leading to serious trade consequences.
New US Tariffs and Their Impact on the EU
Senior EU officials warned that the new 'reciprocal' tariffs from the US are likely to remain permanent. The current 10% tariff on almost all imported goods may become a fixture. The European Commission hopes to lower the rate, but the complete elimination seems increasingly unlikely.
Positions of EU Countries
France firmly rejected unilateral concessions, and other countries expressed skepticism as well. Despite having certain positions, many governments were reluctant to openly oppose the proposed tariff policy.
Possible Paths to Resolve the Conflict
Proposed solutions include reducing US tariffs and granting duty-free allowances on sensitive export items like cars. However, to reach an agreement, the EU may need to threaten countermeasures. Regulatory changes are also on the agenda.
The ongoing EU-US negotiations mark a critical point where each side evaluates potential concessions and the implications for their economies.
