US and EU closer to joint statement on tariff deal
The United States and the European Union are moving closer to finalising a joint statement on the tariff agreement reached at the end of July. According to a European Commission spokesperson, Washington has now submitted suggestions to bridge the remaining gaps.
The deal, which was agreed on 27 July in Scotland between the president of the European Commission, Ursula von der Leyen, and the US president Donald Trump capped overall US tariffs at 15 per cent. This is far below the 30 per cent that Trump had threatened. In return, the EU has pledged to increase its imports of US liquefied natural gas (LNG), among other things. However, Brussels insists that the cap should also apply to any future tariffs, including those on pharmaceuticals, which Trump has suggested.
Key details remain unresolved. The non-binding joint statement, intended as a roadmap towards a legally binding trade agreement, must clarify which EU products will be exempted and whether US tariffs on cars and car parts (currently 25 per cent) will be reduced. Tariffs on steel and aluminium, currently at 50 per cent, are also set to be reduced and quota arrangements introduced.
Last week, a Commission source said the draft was '90–95 per cent complete'. On Thursday, however, the spokesperson noted that the ball is still in the US court, although they did confirm that there are ongoing technical and political efforts to conclude the statement swiftly.
© Brendan SMIALOWSKI / AFP
Related News
