Tariffs, Germany and France pressing for a quick agreement
Brussels received a new document from Washington. An all-encompassing understanding by 9 July is difficult, either a renewal of the 'truce' on the American side or a framework agreement are possible. In the meantime, French President Macron also seems ready to abandon the call for a balanced understanding, settling for one that is as least asymmetrical as possible
from our correspondent Beda Romano
3' min read
3' min read
BRUSSELS - There are just over 10 days to go before the 9 July deadline for the US and EU to try to hammer out some kind of trade deal. The hard-fought negotiations between the parties continue, while an increasing number of European countries would like a quick agreement. In the meantime, Berlin favoured the idea of strengthening cooperation with the Indo-Pacific region, up to and including replacing the World Trade Organisation (WTO), which is in great ambit.
"We have received a new document from the US to continue negotiations" with the Americans. "We are evaluating it," European Commission President Ursula von der Leyen explained in the night between Thursday and Friday at the end of a European summit. The tariffs decided at the time by the Trump administration are currently in force: 50% on steel and aluminium, 25% on cars, and 10% on a whole range of other products. The White House has threatened further tariffs of up to 50%.
The EU decided at the time to prepare retaliatory measures, but without implementing them, in order to seek an agreement with Washington. Today, the choice is criticised by some governments because it left Brussels in an unbalanced position vis-à-vis the US, weakening it on the negotiating front. A European diplomat explained yesterday: 'The choice may be regrettable, but it was also the result of European divisions. How many member states were then willing to launch the retaliatory measures?".
An all-inclusive agreement seems difficult by 9 July, the date on which the freeze on tariffs decided unilaterally by the White House expires. Barring any sudden choices on Washington's part, the alternatives are two: a renewal of the pause on the American side; or a framework agreement that would have to be negotiated later in detail (following the British example). 'Trade agreements,' a diplomat recalled in recent days, 'take time and are full of details'.
Germany meanwhile is pawing the ground. Chancellor Friedrich Merz is calling for 'a quick agreement', making himself the spokesman for a business world that is suffering from uncertainty and is very exposed across the Atlantic. According to the latest survey by the Ifo Institute in Munich, pessimism dominates in the automotive sector: 'The uncertain global trade situation is clashing with already tough conditions on the sales markets,' analyst Anita Wölfl explained in recent days.
