The European Union no longer knows what to expect from US President, Donald Trump. While trying to negotiate an agreement in principle with Washington before 9 July, the European Commission has learned that the deadline for reaching an agreement has been postponed to 1 August. And uncertainty is growing: On Monday 7 July, Donald Trump said that the 1 August date was firm, but “not 100% firm”, before affirming the following day that there would be absolutely no extension of this deadline.
“It appears that the United States has extended its deadline to 1 August. That gives us a bit more time. We are still negotiating intensively. The sooner we have an agreement, the better”, stated the European Commissioner for Economy, Valdis Dombrovskis, on Tuesday 8 July.
For the time being, what the Commission considers almost certain is that the United States has no intention of proposing a tariff of less than 10% to the European Union. What is more, Washington is not proposing to lower the sectoral tariffs on cars, steel and aluminium, which are very strategic sectors for the EU. Only aviation and spirits could benefit from lower tariffs, according to the rumour mill.
This treatment is far from satisfactory for several political groups in the European Parliament. Unlike his Chancellor, Germany’s Manfred Weber (EPP) believes that the 10% rate is problematic for the European economy. “We should not make it as easy as it seems to be, to just swallow what Trump wants and then go to the next chapter”, he said on Tuesday 8 July.
The Chair of the European Parliament’s Committee on International Trade, Bernd Lange (S&D, German), believes that sectoral tariffs – of up to 50% for aluminium – should be abolished. On the subject of the 10% rate, he added: “We also say, of course, that the basic tariff is unfair. But I don’t think the United States will give up”. (Original version in French by Léa Marchal)