With his announcement, Trump seems to want to increase the pressure on the EU to come to a trading deal. This week there was still optimism from Brussels. The European Commission expected to be able to conclude an agreement with Washington within a few days.
Rate struggle: Brussels hopes for deal with Washington in the coming days
On 2 April, Trump announced a day he renamed ‘Liberation Day’ for the occasion on products from dozens of countries. A rate of 20 percent would apply to EU stuff.
Basic rate during negotiations
The US President later limited these rates to a ‘basic rate’ of 10 percent. He also set a deadline to come to agreements with trading partners. Originally that Deadline was July 9. Later that was shifted to August 1.
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In the meantime, the EU and the US have tried to reach an agreement. Those negotiations were difficult. In May, Trump still threatened the EU with a levying of 50 percent. A few days later he praised Brussels on Truth Social because it would hurry with the discussions. The European Commission has always emphasized that it wants to come to a deal with the US.
Still few deals
Last week Trump published letters to various countries on Truth Social, in which he announced the trading rates for their products. All those taxes would take effect on 1 August. So far, Washington has only reached similarities with Great Britain and Vietnam. The Trump government also concluded a deal with China about lowering taxes on both sides.