The European Union is developing a new trade agreement aimed at reducing tariff tensions with the United States. Next week, the administration of US President Donald Trump will receive a document with proposals regarding the initiation of trade negotiations.
This is reported by Finway
Main Initiatives of the Agreement
The proposed initiatives include reducing trade and non-tariff barriers, as well as encouraging European investments in the US. The focus is on deepening cooperation on key global issues, particularly in addressing the problem of excess capacity in the Chinese steel industry.
Additionally, the document contains provisions related to the procurement of American liquefied natural gas (LNG) and technologies that are important for both economies.
Action Plan in Case of Unsuccessful Negotiations
The European Commission is also preparing for the possibility that negotiations with Washington may not yield results. In that case, the EU intends to impose counter-tariffs, expanding the list of American goods that will face increased tariffs and export restrictions.
It is worth noting that in April, Brussels decided to postpone the implementation of additional tariffs in response to the 25% tariffs imposed by the US on steel and aluminum for 90 days. This was made possible after Trump temporarily reduced tariffs on the export of most goods from the EU from 20% to 10%.