US-EU Trade Talks Drag On as Tariff Deadline Looms

Trade Negotiations & Tariffs - The EU is facing 30% tariffs from the US starting August 1st, a change from the initially proposed 50% tariffs scheduled for August 9th [1] - The US administration, led by President Trump, demands the EU reduce all trade barriers, including tariffs (to zero) and non-trade barriers [2] - The US proposes that if the EU retaliates by raising tariffs, the US will add that percentage to the existing 30% tariff [3] - The EU had previously considered a 10% baseline tariff, which many member states were unhappy with but willing to accept without retaliation [3] EU Response & Retaliation - Ursula von der Leyen stated the EU remains ready to work towards an agreement by August 1st, but will take necessary steps to safeguard EU interests, including proportionate countermeasures if required [4] - EU ministers are meeting to discuss trade negotiations and potential retaliation against the US [5] - The EU already has a list of €2 billion to €20 billion worth of goods for potential retaliation and is considering adding another €70 billion worth [5] - The EU aims for a negotiated outcome, but the commitment of President Trump to the 30% tariff remains uncertain, requiring the EU to prepare for retaliation [6]