Last-minute struggle? The EU is reported to be considering lowering a series of tariffs on the U.S. in hopes of quickly reaching a trade agreement

CCTV News pointed out that July 9 is the deadline for the U.S. government to suspend the imposition of so-called "reciprocal tariffs" for 90 days. Recent news indicates that the European Union may consider proposing attractive conditions such as tariff reductions in a last-minute effort to reach a trade agreement with the United States before July 9.

On Thursday, June 26, Eastern Time, media reports stated that informed sources revealed the EU is considering lowering tariffs on a range of imported U.S. products to cater to President Trump, aiming to quickly reach a trade agreement with the U.S. On Thursday evening local time, EU leaders will discuss in a meeting in Brussels how much they are willing to sacrifice to gain Trump's support.

In addition to lowering tariffs on a range of imported products, the report mentioned that other concessions being considered by the EU include reducing non-tariff barriers, purchasing more U.S. products including liquefied natural gas (LNG), and actively cooperating with the U.S. to address economic concerns regarding major Asian countries.

According to Xinhua News Agency, President Trump announced on April 2 the imposition of so-called "reciprocal tariffs," which triggered a sharp decline in the U.S. financial markets. Under pressure from various parties, Trump announced on April 9 a 90-day delay in imposing high "reciprocal tariffs" on some trading partners, while maintaining a 10% "baseline tariff" and threatening U.S. trading partners to complete negotiations with the U.S. by July 8.

Media reports this Thursday indicated that many European officials and diplomats have now accepted the Trump administration's intention not to cancel the 10% baseline tariff, focusing instead on seeking as many exemptions as possible to limit the economic impact of these tariffs and other tariffs.

Following the above reports, the euro maintained a 0.6% increase against the dollar, trading at 1.1727. The three major U.S. stock indices saw their gains expand, with the S&P 500 index rising about 0.9%, potentially closing at a record high since February 19; the Dow Jones Industrial Average rose nearly 400 points, up over 0.9%, and the Nasdaq rose over 1%.

Some European countries push for a brief preliminary agreement, while some officials urge a tougher stance before the deadline

CCTV News stated that as one of the largest trading partners of the United States, the EU is currently subject to tariffs imposed by the U.S., which include the 10% baseline tariff during the suspension of reciprocal tariffs and a 25% tariff on automobiles and a 50% tariff on steel and aluminum.

CCTV reported that on May 23, Trump suddenly threatened to impose a uniform tariff of up to 50% on EU goods, citing that the EU was "difficult to deal with" on trade issues and that U.S.-EU trade negotiations were "making no progress." Less than two days later, Trump reversed his stance, stating that at the request of European Commission President Ursula von der Leyen, he decided to postpone the plan to impose a 50% tariff until July 9, which is the deadline for suspending reciprocal tariffs. Both sides agreed to "accelerate negotiations" during this period Just a few days after the US and Europe agreed to "accelerate negotiations," Trump suddenly announced that the tariffs on steel and aluminum would be doubled to 50%. CCTV reported that this unexpected move once again disrupted global markets and further complicated US-EU negotiations.

According to the aforementioned media reports on Thursday, some countries led by Germany and Italy are pushing the EU to quickly reach a preliminary agreement with the United States. Insiders indicated that such an agreement might only be a few pages long and would be updated in subsequent detailed negotiations.

The report also cited insiders stating that, from a political perspective, it is difficult for the EU to sign an agreement that is clearly favorable to the US, and some European officials have urged a tougher negotiating stance before the July 9 deadline.

Earlier on Thursday, CCTV news mentioned that in the face of the US's aggressive stance, the EU reiterated its position: it is not afraid to engage in a tariff war with the US.

CCTV noted that shortly after the conclusion of last week's G7 summit in Canada, the head of the office of European Commission President Ursula von der Leyen, Seibert, emphasized to the ambassadors of EU countries in Brussels that the EU must unify its stance before the deadline and be ready to counter the US's tariff measures. If the EU wants to reach a "good agreement," it must issue a "credible threat" in the trade war initiated by the US.

According to CCTV, Seibert confirmed that European Commission President von der Leyen is prepared to take strong countermeasures against the US and hopes that EU countries will support a second round of counter-tariffs involving €95 billion worth of US goods. Seibert stated that the EU is also preparing countermeasures against the US service industry, including taxes on US tech companies and restrictions on US companies obtaining public procurement contracts.

CCTV pointed out that the EU originally hoped to communicate directly with Trump on tariff issues during the G7 summit, but Trump's early departure back to the US left the EU greatly disappointed. Moreover, Trump issued a new threat to the EU on his way back: either propose a "reasonable agreement" to the US or "pay higher tariffs as per our demands."

Risk Warning and Disclaimer

The market has risks, and investment requires caution. This article does not constitute personal investment advice and does not take into account the specific investment goals, financial situation, or needs of individual users. Users should consider whether any opinions, views, or conclusions in this article align with their specific circumstances. Investment based on this is at their own risk