The EU’s best-case scenario is to reach a preliminary
agreement by that date, allowing both sides to continue working out the details
afterward. Washington is expected to respond soon to the latest round of talks
and outline the next steps.
The U.S. is planning to impose 50% tariffs on nearly all EU
exports, a move that could trigger a strong response from Brussels. According
to EU estimates, the planned tariffs would hit goods worth about 380 billion
euros, or roughly 70% of the bloc’s exports to the U.S.
EU chief negotiator Maroš Šefčovič has been actively
engaging with his American counterparts — Commerce Secretary Howard Lutnick and
Trade Representative Jamison Greer. Negotiations cover key sectors, including
steel, aluminum, automobiles, pharmaceuticals, semiconductors, and civil
aviation, as well as both tariff and non-tariff barriers.
Though talks have taken place in what officials describe as
a positive atmosphere, the EU warns that the negotiations remain difficult and
that the U.S. is likely expecting unilateral concessions. If the talks fail,
Brussels is preparing countermeasures that could go beyond simple tariffs,
potentially targeting strategic sectors where the U.S. depends on EU imports.
Earlier, on April 2, 2025, the Trump administration
officially imposed “reciprocal” tariffs affecting about 185 countries.
The minimum tariff rate was set at 10%, including for
Ukraine.
For China, the new tariff stood at 34%, but combined with an
additional 20% tariff imposed in March over Beijing’s alleged role in fentanyl
shipments to the U.S., China faced a total tariff rate of 54%.
In response, China on April 4 imposed 34% tariffs on all
U.S. goods and announced export controls on seven types of rare earth metals
used in manufacturing high-tech products like computer chips, specifically
mentioning gadolinium and yttrium.
Trump called China’s move “a mistake” and, starting April 9,
imposed an additional 104% tariff on Chinese goods.
Beijing retaliated on April 9 by raising tariffs on U.S.
goods to 84%.
Trump then escalated the trade war further, hiking tariffs
on China to 125%, citing Beijing’s “lack of respect for global trade.”
Simultaneously, he authorized a 90-day pause on introducing new tariffs for
other countries.
Trump has since promised to lower tariffs on Chinese goods,
emphasizing his “very good relationship” with Chinese leader Xi Jinping.
“Tariffs on Chinese goods will come down significantly, but they won’t be zero,”
Trump said.
U.S. Treasury Secretary Scott Bessent stated that the tariff
restrictions between the United States and China are unsustainable long-term,
adding that a “de-escalation” in trade relations between the two countries is
likely.
Amid the escalating trade fight, 12 U.S. states jointly
filed a lawsuit challenging Trump’s tariffs.
Meanwhile, China has begun quietly rolling back some tariffs
on U.S. goods without making official announcements. According to CNN sources,
tariffs on eight types of integrated circuits — covering most semiconductors
except memory chips — were dropped to zero.
Bloomberg reported that Chinese authorities are also
considering removing tariffs on medical equipment and certain industrial
chemicals such as ethane. Additional reports suggest Beijing may lift tariffs
on at least eight categories of semiconductor-related products.
The two sides are also discussing eliminating tariffs on
aircraft leasing between China and the U.S. Many Chinese airlines, like others
worldwide, do not fully own their fleets.
On May 12, 2025, the U.S. and China agreed to a 90-day
reduction in mutual import tariffs.
A new round of talks aimed at resolving the U.S.-China trade
war began in London on June 9.