The European Commission has announced that President Ursula von der Leyen and former US President Donald Trump have decided to expedite trade negotiations and maintain frequent communication following a constructive phone conversation last night.
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In a positive turn of events, Trump mentioned he would suspend his proposed 50% tariffs on the European Union until July 9, describing the call with von der Leyen as “very nice.”
Commission spokesperson Paula Pinho addressed the media stating, “While we won’t get into the specifics of the discussions, it’s important to note that we are discussing the world’s largest and most integral trade partnership.” She emphasized, “These negotiations are complex and require time, but today’s call has injected new energy into the process, and we are committed to advancing from here.”
The Commission confirmed that a negotiating team is in place, led by Trade Commissioner Maroš Šefčovič, who is scheduled to speak with the US Commerce Secretary, Howard Lutnick, later today.
Earlier this week, Trump had indicated plans to impose steep tariffs as early as June 1, citing stagnation in discussions with the EU over previous levies. He remarked, “Ms. von der Leyen just called and requested an extension on the June 1 deadline, expressing her desire for serious negotiations,” a request he readily granted.
In a post on X, von der Leyen described her conversation with Trump as “good,” reiterating that “to reach a beneficial deal, we will need time until July 9.” She affirmed, “Europe is prepared to advance talks in a swift and decisive manner.” This determination from von der Leyen echoes the sentiment of progress many hope to see.
The EU and the US are engaged in discussions aimed at averting a full-scale transatlantic trade dispute, having previously agreed to postpone tariff actions until July. However, Trump’s recent threats have significantly heightened tensions.
In light of these developments, Taoiseach Micheál Martin expressed support for the recent dialogue, stating it is “absolutely important” for the EU and US to arrive at a “realistic and reasonable deal.” The echoes of unity in pursuit of negotiation were also heard from German Finance Minister Lars Klingbeil, who emphasized the need for “serious negotiations” with the US during a discussion with US counterpart, Scott Bessent. “We don’t need further provocations; we need serious negotiations,” Klingbeil told Bild newspaper, highlighting the interlinked fates of both economies in light of potential tariffs.
Trump has previously imposed multiple sets of tariffs, including 25% on steel and aluminum and additional tariffs on automobiles. While a 20% reciprocal levy on all imports has been suspended pending discussions, a baseline 10% tariff remains in effect.
In response to Trump’s recent remarks, EU Trade Commissioner Šefčovič asserted the bloc’s commitment to securing a deal, emphasizing that trade relations should be built on “mutual respect, not threats.” As leverage, the EU has lined up plans to target nearly €100 billion worth of US goods with tariffs should negotiations fail.
In 2024, the US recorded a substantial trade deficit of $236 billion in goods with the EU. However, factoring in services—where US enterprises typically excel—the European Commission estimated that the deficit shrank to €50 billion.
Despite the persisting divide on tariff negotiations, an EU spokesperson on Economic Security and Trade, Olof Gill, expressed optimism, noting, “If Trump’s statement serves as a catalyst for substantive dialogue, we are prepared to engage earnestly.” He remarked, “We have engaged in direct, face-to-face discussions in the past and remain hopeful for productive conversations moving forward.” During an appearance on RTÉ’s Morning Ireland, Gill emphasized the EU’s readiness to focus on negotiations, stating, “We aim to overlook the background noise and prioritize meaningful dialogue.” He added that the EU has presented what it believes to be a “very favorable basis for negotiation, where both sides can reap benefits and ultimately enhance gains for companies and consumers on either side of the Atlantic.” The European Commission’s paramount focus remains on competitiveness and completing the single market.
Edited By Ali Musa
Axadle Times International – Monitoring.
