EU and US Edge Towards Landmark Trade Deal Amid Tense Talks

The European Commission and U.S. administrations are negotiating a trade deal potentially imposing a 15% tariff on EU goods, concluding ongoing tariffs on crucial sectors like cars and steel. The meeting between EU and U.S. leaders seeks to avert the threatened 30% tariff rate and secure a stable agreement.

The European Commission President, Ursula von der Leyen, is scheduled to meet with U.S. President Donald Trump in Scotland this Sunday to finalize a trade deal that could introduce a 15% baseline tariff on EU goods. This move aims to resolve the prolonged tariff uncertainty affecting EU companies.

In preparation, U.S. and EU negotiators are holding last-minute talks concerning tariffs on sectors including cars, steel, aluminium, and pharmaceuticals. U.S. Trade Representative Jamieson Greer and Commerce Secretary Howard Lutnick have already arrived in Scotland, joined by EU Trade Commissioner Maros Sefcovic.

Both sides are optimistic about reaching an agreement. However, the EU faces potential 30% tariffs from August 1 unless a deal is made. Conversations involve possible tariff exemptions and expanded trade commitments, following the tariff deal pattern set with Japan earlier this week.

(With inputs from agencies.)