Bloomberg reports that EU officials will meet this week to discuss a plan in case negotiations with US President Donald Trump collapse. While most member states still hope to strike a deal with Washington by the end of the month, last week’s talks failed to make significant progress.
According to the news agency’s sources, the US is pushing for tariffs of over 10% on most EU goods, with exceptions only for aircraft, medical equipment, and a few other categories.
The negotiations will continue for another two weeks, but even if an agreement is reached, the final decision will ultimately depend on Donald Trump. His position on the matter remains unclear for now. US Commerce Secretary Howard Lutnick is optimistic about the outcome of the talks with the EU. He believes European nations would rather open their markets than risk facing steep new tariffs.
If the talks fail, the bloc is prepared to retaliate with duties on €21 billion ($24.4 billion) and €72 billion ($83.8 billion) of American products, Bloomberg says.