Catenaa, Monday, May 26, 2025- The European Union(EU) agreed on Monday to accelerate negotiations with the US to avoid a trade war, a day after Trump delayed the implementation of a 50% tariff to July 09.
Paula Pinho, a spokesperson for the European Commission, told reporters that Commission President Ursula von der Leyen spoke with Trump by phone. “They agreed both to fast-track the trade negotiations and to stay in close contact,” she added.
Following the call, Trump extended the deadline to hit the EU with 50% tariffs by more than a month to July 9 to allow for more negotiations. “We had a very nice call and I agreed to move it,” Trump told reporters Sunday.
The Europeans have complained that it’s not clear what the US wants or even who speaks for the American president, and the US has said the EU unfairly targets US companies with lawsuits and regulations.
The EU’s trade chief, Maros Sefcovic, was expected to speak with US Commerce Secretary Howard Lutnick on Monday. EU ambassadors were also scheduled to hold a last-minute meeting on Monday to discuss the latest developments with the commission.
Bloomberg Economics calculations showed that Trump’s 50% tariff threat would hit $321 billion worth of US-EU goods trade, lowering US gross domestic product by close to 0.6% and boosting prices by more than 0.3%.
The EU has approved tariffs on $23.9 billion of US goods in response to Trump’s metals levies that can be quickly implemented. They target politically sensitive American states and include products such as soybeans from Louisiana, home to House Speaker Mike Johnson, as well as agricultural products, poultry and motorcycles.
The bloc is also preparing an additional list of tariffs on $108 billion of American products. Those measures, which are in response to Trump’s “reciprocal” levies and automotive duties, would target industrial goods including Boeing aircraft, US-made cars and bourbon.
