Trade tensions between the US and the European Union have reached a new level with the threat of new tariffs.
Threats and Tariffs
Reports indicate the Washington administration has threatened Brussels with a 17% tariff on EU agricultural exports. This new development further escalates the already tense trade negotiations between the two sides.
US Position
The latest warning from the US comes before a plan to impose a 20% tariff on all EU goods if the parties fail to reach a trade deal by July 9. President Trump is demanding Brussels grant regulatory exemptions to US companies and reduce the EU's trade surplus with the US.
Hope for Agreement
European Commission Trade Commissioner Maroš Šefčovič received the warning during talks in Washington on Thursday, which was relayed to the ambassadors of the 27 EU member states the next day. European Commission President Ursula von der Leyen expressed hope for an 'agreement in principle' that would allow the parties to continue negotiations.
The situation surrounding the US-EU trade negotiations remains tense, with predictions of future tariffs that could impact the economies of both sides.