EU expects trade talks with US to extend beyond Donald Trump’s deadline

The European Union believes that trade talks with the US could extend beyond the July 9 deadline set by President Donald Trump. 

The EU considers reaching an agreement on the principles of the deal by that date to be the best scenario, which allows further negotiations to work out the details. The two sides are currently holding discussions about supplies of steel, aluminum, automobiles, pharmaceuticals, semiconductors, and civilian aircraft, according to Bloomberg, citing anonymous sources. 

After the deadline, the United States will impose 50% import tariffs on European goods. The EU estimates that they are about to cover 380 billion euros ($434 billion), or about 70%, of the bloc’s exports to the US.

Bloomberg notes that Europe is likely to retaliate if duties are imposed. The bloc has already approved tariffs on 21 billion euros ($24 billion) of imports from the US in response to metals levies. Besides, the EU is developing a list of additional duties on American goods worth 95 billion euros ($108.6 billion).