The United States and the European Union (EU) are engaged in intense negotiations ahead of a summit for tariff talks, the Financial Times (FT) reported on the 26th.
According to sources cited by FT, U.S. Secretary of Commerce Howard Lutnick and senior EU officials held intense negotiations late into the night over the final details of tariff rates applicable to EU steel, automobiles, and pharmaceuticals. Sources said that the discussions between both sides were at times "combative."
The tariff negotiations between both sides are moving towards the U.S. imposing about a 15% reciprocal tariff on most EU imports. President Trump sent a letter on the 12th stating that he would impose a 30% reciprocal tariff on the EU starting August 1. Currently, EU products exported to the U.S. are subject to an average tariff of 4.8% along with the new "basic tariff" of 10% introduced by President Trump.
The negotiations took place as the deadline for the tariff negotiations (August 1) approaches, with President Trump inviting European Commission President Ursula von der Leyen to Scotland. President Trump had previously responded to reporters' questions about what the unresolved sticking points in the trade negotiations between the U.S. and the EU were, saying, "There are probably about 20 issues involved. You probably don't want to hear all of them."