The European Union has expressed its readiness to sign a trade deal with US President Donald Trump amid a recently confirmed agreement with China.
New American Initiative
During a summit in Brussels, EU officials announced that the US had submitted a new trade initiative aimed at avoiding an increase in tariffs scheduled for July 9. The proposal was shared with European Commission President Ursula von der Leyen, who then communicated it to EU leaders.
Presidential Tariff Options
White House Press Secretary Karoline Leavitt stated that Trump’s deadlines for restoring full reciprocal tariffs on July 8 and 9 could potentially be extended. She clarified that even if countries do not sign a deal by the deadline, the president still has the authority to implement his own terms, selecting tariff rates he believes advantageous for the US. This announcement led to a rise in stock market indices.
Prospects for Negotiations Completion
According to Kevin Hassett, Director of the National Economic Council, further trade agreements are expected following Congress's passage of a large tax-and-spending bill. However, despite this optimism, there are no firm guarantees that negotiations will conclude satisfactorily. The EU is under pressure since Trump has reached a deal with China and expects other countries to follow suit.
Negotiations between the European Union and the Trump administration are at a critical stage. If an agreement is not reached by July 9, there is a high risk of tariff imposition from the US, which could significantly impact economic relations between both parties.
