EU-US trade deal looms as Von der Leyen meets Trump

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EU-US trade deal looms as Von der Leyen meets Trump
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U.S. President Donald Trump is set to meet European Commission President Ursula von der Leyen to discuss a potential transatlantic trade deal, according to Politico on July 25th.

The meeting, scheduled for July 27th, follows Trump’s recent comment that the chances of striking a deal with the EU are “50-50.”

In a recent post, von der Leyen said she had a “good call” with Trump and confirmed that the meeting would focus on “transatlantic trade relations, and how we can keep them strong.”

Negotiations have been tense in recent weeks. The EU and U.S. were reportedly close to finalising a deal that included a 10 percent tariff, but Trump pulled out three weeks ago and instead threatened a 30 percent tariff. The proposed tariff deadline of July 9th was pushed to August 1st.

Speaking to reporters at the White House, Trump said there was a “50-50 chance, maybe less than that” of reaching an agreement.

Trump is currently visiting the UK, where he is also expected to hold talks with Prime Minister Keir Starmer.

EU diplomats told reporters they are bracing for a possible 15 percent baseline U.S. tariff deal ahead of the looming August 1st deadline. 

One EU diplomat noted that the mood among negotiators is “tense” as the deadline approaches.

Back in April, Trump imposed tariffs on 60 trading partners, with rates of up to 50 percent. He has insisted that any deal with the EU must involve lowering what he described as Europe’s “30 percent” tariff rate.

EU officials have warned that if the current deal falls through, they are prepared to retaliate. One possible retaliation is a package of tariffs on €93 billion worth of U.S. goods, already approved by EU member states on July 24th. 

In 2024, the EU imported $370 billion worth of U.S. goods — a significant portion of which, along with some American service exports, could be targeted by retaliatory measures.

Yet, Trump is reportedly optimistic about the deal negotiations with the EU then he is about reaching a deal with Japan. 

“I would have said we have a 25 percent chance with Japan. And they kept coming back, and we made a deal,” he said.

Politico, Maghrebi.org

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