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Home Market Research Economy

Trump hails ‘positive’ step in U.S.-EU trade talks as markets await deal

by TheAdviserMagazine
5 months ago
in Economy
Reading Time: 2 mins read
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Trump hails ‘positive’ step in U.S.-EU trade talks as markets await deal
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U.S. President Donald Trump gestures at the annual National Memorial Day Observance in the Memorial Amphitheater, at Arlington National Cemetery in Arlington, Virginia, U.S., May 26, 2025.

Ken Cedeno | Reuters

U.S. President Donald Trump said Tuesday he was monitoring “positive” steps in trade talks with the European Union, after he agreed to delay a 50% tariff on goods from the bloc until July 9.

“I have just been informed that the E.U. has called to quickly establish meeting dates,” Trump wrote in a post on the Truth Social platform.

“This is a positive event, and I hope that they will, FINALLY, like my same demand to China, open up the European Nations for Trade with the United States of America.”

Trump also said Tuesday that the EU had been “slow walking” in negotiations with the White House over a trade deal.

The sudden prospect of even greater tariffs on one of the U.S.’ biggest trade partners rattled markets when it was threatened by Trump last Friday. In a post last week, Trump said discussions with the EU were “going nowhere.”

However, sentiment turned positive on Tuesday amid hopes of a breakthrough. European Commission President Ursula von der Leyen said in a post on X over the weekend that the EU was “ready to advance talks swiftly and decisively,” while European Trade Commissioner Maros Sefcovic said Monday that he had “good calls” with U.S. Commerce Secretary Howard Lutnick.

Europe’s regional Stoxx 600 index slightly extended gains after Trump’s comments on Tuesday, last trading up 0.55% on the previous session, while U.S. markets opened broadly higher.

The 27-member alliance was hit with a 20% tariff on April 2 as part of Trump’s “reciprocal” tariff strategy, which was then cut for almost all trading partners to 10% for 90 days. Concurrent U.S. duties on autos, steel and aluminum are also impacting the bloc’s exporters.

EU officials have repeatedly stressed that they want to reach a deal with the White House, but that this will not come at any cost. The European Commission, the EU’s executive arm, earlier this month launched a consultation on tariff countermeasures targeting U.S. imports worth 95 billion euros ($107.4 billion) if a deal is not reached.

CNBC has contacted the European Commission for comment.

On May 8, the U.S. unveiled the outline of a trade deal with the U.K., the first such agreement under the latest Trump administration, although businesses say they are awaiting further details. The deal maintains a 10% baseline tariff on U.K. imports to the U.S., suggesting other countries will face a similar rate at a minimum.

Trump has generally struck a favorable tone toward the U.K. due to its more balanced trade relationship in goods with the U.S. He has accused the EU, however — with which it has a deficit in goods — of treating the U.S. unfairly. EU-U.S. trade is roughly balanced when accounting for both goods and services, according to EU figures.



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