Trump threatened with higher import duties to 50 percent if no agreement were to be reached with Brussels on Wednesday 9 July, but earlier this week he decided to have new rates only start on 1 August.
The US President again said on Tuesday that his country is being treated badly by the EU, among other things due to lawsuits against tech giants Google and Apple. “But lately they have been very good for us,” said the head of state who called Ursula von der Leyen on Sunday.
Possible agreements on exceptions
Behind the scenes, there was already expectation in Brussels that this week, despite the delay, an agreement will be in outline. The expectation is that for most goods the ‘basic rate’ of 10 percent remains, but that there will be lower rates for certain products – possibly alcohol and planes. It is still unclear what will happen with, for example, the import tariffs on steel and aluminum, which were raised by Trump last month from 25 to 50 percent.
The European Commission is still negotiating with the Americans, but in the end their conversation partners in Washington depend on the whims of Trump. He finally makes the decision.
Support for harder set -up against Washington
In the meantime, some EU member states are wondering if they should just accept the ‘offer’ of Washington. Until now, Brussels has decided to postpone countermeasures.
“We support a hard set -up towards the United States. We cannot politely thank for an ‘offer’ of ten percent,” the Swedish minister Elisabeth Svantesson (Finance) told the Swedish news agency TT on Tuesday.
The fickle American president is not yet done with rates. On Tuesday he again threatened with new taxes on copper and pharmaceutical products.
Next Monday, EU-Handelsministers will consider the trade relationship with the United States in Brussels.