European Commission President, Ursula Von der Leyen, has stated that The European Union is ready to negotiate with the United States on Trump’s “reciprocal” tariffs.
She said at a news conference in Brussels that these tariffs come first and foremost at immense costs for US consumers and businesses but at the same time, have a massive impact on the global economy.
Following US President Donald Trump’s announcement of hefty tariffs on dozens of countries last week, EU exports to the US face a 20% “reciprocal” tariff, while its steel and auto industry face a 25% tariff. Von der Leyen said the tariffs, which have caused a global market rout, represent a “major turning point” for the US.
“Nonetheless, we stand ready to negotiate with the United States. Indeed, we have offered zero-for-zero tariffs for industrial goods, as we have successfully done with many other trading partners, because Europe is always ready for a good deal.”
Ursula von der Leyen
Asked when the EU tabled the zero-tariff offer, von der Leyen said the offer was made “long before” Trump’s latest tariff announcement and “repeatedly, for example, in the automotive sector.”
She stressed that the EU has long gone “zero for zero with other countries that also have a strong automotive sector.”
European Commission President noted that although the EU would prefer to strike a “negotiated settlement,” the bloc is also “preparing a potential list (of US imports) for retaliation.”
Meanwhile, she stated that the bloc would explore new opportunities, citing deals it has already made with Mexico and Switzerland, as well as new trade agreements it is exploring with India, Indonesia and other countries in the Indo-Pacific.
“We will focus like a laser beam on the 83% of global trade that is beyond the United States – vast opportunities – and this is why we’re deepening our relations with our trading partners.”
Ursula von der Leyen
Von der Leyen also addressed the issue of non-EU member Norway, saying that the country is inside the bloc’s single market and will remain in it.
EU Trade Chief Rules Out Any Changes To EU’s Value-Added Tax System
Meanwhile, EU Trade Commissioner, Maros Šefčovič said that the EU is still open to talks with the US on trade but ruled out any changes to the EU’s value-added tax system, calling it a vital revenue source, despite the White House calling for it to be part of the negotiations.
He said that the US focus appears to be on “Big Five” areas: cars, pharmaceutical, metals, lumber and semiconductors.
Šefčovič stated that the EU was ready to change rules on personal vehicles and find a deal, with a “zero-for-zero” deal, and potentially extending it to other industrial products.
“I hope that in future we would be ready to come back to this discussion, not now. [but] I believe that in the future this would be still the possibility.”
Maros Šefčovič
Also, Šefčovič said that the EU’s timeline on countermeasures on steel and aluminium is driven by legal analysis.
However, he added that “it is not possible now to delay the entry into force” as some countries, such as Italy, appeared to be asking for it. “We expect the vote on Wednesday and if the vote is positive, then we will proceed with 15 April,” he said.
“All options are on the table, and we will consult with the stakeholders and with our member states, how to use all the instruments we have at our disposal.”
Maros Šefčovič
Šefčovič’s remarks came as EU Trade Ministers met in Luxembourg to discuss the bloc’s strategy following the new tariffs imposed by the US.
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