Trump pressures EU for unilateral tariff cuts as trade talks stumble

As the deadline for the 90-day tariff pause grows near, the Donald Trump administration and European Union fail to find consensus in trade talks

Tensions are escalating between Washington and Brussels as the United States pushes the European Union to make unilateral tariff concessions in ongoing trade talks. With only weeks left in a temporary truce on certain tariffs, negotiators from the President Donald Trump-led US government are urging the EU to lower duties on US goods without expecting reciprocal reductions, a stance that has frustrated officials in Brussels, reported the Financial Times on Friday.

 

Trump unhappy with EU's mutual tax cut offer

US trade representative Jamieson Greer is set to inform his EU counterpart, Maroš Šefčovič, that the bloc’s latest proposal falls short. The Trump administration is particularly dissatisfied with the EU's insistence on mutual tariff cuts and its reluctance to discuss its proposed digital tax, a sticking point for the US. 

 

The two sides have exchanged draft texts, but progress remains limited.

  The EU is attempting to respond to US demands through co-operative proposals, including mutual recognition of standards, streamlined procedures for food and animal trade, and compliance with international labour and environmental norms, key US concerns. Despite this, the EU remains wary of Trump’s push for one-sided concessions.

 

Trade representatives to meet soon

While the EU has sought to frame the talks within a jointly agreed framework, the report by the Financial Times suggests that positions remain too far apart to yield a breakthrough. Greer and Šefčovič are due to meet in Paris for the next round of negotiations.

 

Trump tariffs on EU and 90-day pause

US President Trump imposed 25 per cent duties on EU cars, steel, and aluminium in March, and 20 per cent levies on other goods in April. The latter were halved temporarily until July 8, giving both sides a 90-day window to find common ground.

While some US allies, like the United Kingdom, have managed to negotiate exemptions or reduced tariff quotas, the EU remains at an impasse. European diplomats fear the US may retain a 10 per cent minimum tariff in any final deal, a move that could provoke EU retaliation.  Already, Brussels has paused tariffs on 23 billion euros worth of US goods but is consulting on possible countermeasures affecting up to 95 billion euros in additional US exports, including major sectors like aviation and spirits.