The EU is open to a 10% universal tariff deal with the US

The European Union is open to accepting a trade deal with the United States that includes a 10% universal tariff on many exports, provided Washington agrees to reduce duties on strategic sectors such as pharmaceuticals, semiconductors, alcohol, and commercial aircraft. According to people familiar with the matter, the EU is also pressing for exemptions or quotas to soften the blow of steep US tariffs , including a 25% duty on automobiles and car parts and a 50% levy on steel and aluminum. While the European Commission views the proposal as slightly favoring US interests, officials say it’s still within the bounds of a possible agreement. With a looming July 9 deadline, both sides are intensifying efforts to reach an interim deal before the US imposes a blanket 50% levy on nearly all EU exports. This move would trigger EU countermeasures. President Donald Trump has defended the sweeping tariffs as part of his strategy to restore domestic manufacturing, fund extended tax cuts, and deter trade practices he claims disadvantage the US. On Thursday, European Union leaders discussed new proposals from the United States on a trade deal at a summit in Brussels, with Commission President Ursula von der Leyen not ruling out that tariff talks could fail and saying “all options remain on the table”. At the same time, German Chancellor Friedrich Merz had urged the EU to do a “quick and simple” trade deal rather than a “slow and complicated” one. However, in a separate briefing, French President Emmanuel Macron, while also wanting a quick and pragmatic trade deal, had noted that his country would not accept terms that were not balanced. Talks intensify ahead of July 9 deadline with hopes for an interim deal EU Trade Commissioner Maros Sefcovic will lead a delegation to Washington this week to try to push the talks forward. Sources say both sides are optimistic that a provisional deal can be reached to allow negotiations to continue beyond the deadline. The framework would include tariff and non-tariff issues, purchases of key American goods , and future areas of cooperation. The EU also wants to ensure that any interim deal addresses existing tariffs and new levies the US might impose. Additionally, Brussels seeks to cut non-tariff barriers via its simplification agenda and has proposed joint strategic purchases in areas such as LNG and artificial intelligence. The bloc is open to broader collaboration with the US on economic security challenges. According to EU estimates, the US currently imposes duties on about €380 billion ($445 billion) worth of EU goods, covering roughly 70% of the bloc’s exports. On Monday, the European Commission notified member states of a proposal submitted by the US on tariffs, trade barriers, and strategic cooperation. Still, detailed terms have not been disclosed. Officials have outlined four possible outcomes as the deadline nears: A mutually acceptable deal with some asymmetry, a one-sided US offer that the European Union would reject, an extension of the deadline to continue negotiations, or US withdrawal from talks, triggering tariff hikes. Brussels prepares countermeasures amid rising trade tensions In anticipation of a breakdown, the EU has prepared retaliatory tariffs on €21 billion worth of US goods, targeting politically sensitive sectors including soybeans from Louisiana, poultry, motorcycles, and other agricultural exports. A second list of €95 billion in tariffs is also ready, which includes industrial goods such as Boeing aircraft, US-made cars, and bourbon. Beyond tariffs, the EU is consulting member states on strategic responses that may involve export controls and procurement restrictions, aimed at sectors where the US particularly relies on European inputs. While EU officials are aiming for a balanced outcome, they remain cautious. Any final deal will be evaluated to determine what level of imbalance — if any — the bloc is prepared to accept. KEY Difference Wire : the secret tool crypto projects use to get guaranteed media coverage

Source: Cryptopolitan