Trump eyes up to 20% tariff on all E.U. imports for trade deal
The White House is pushing at least 15% to 20% tariff on all European Union imports, according to a new report
Construction on the Marriner S. Eccles Federal Reserve building in Washington. (Al Drago/Bloomberg via Getty Images)
President Donald Trump is pushing for a minimum 15% to 20% tariff on all European Union imports, according to a Friday report in the Financial Times.
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The Trump administration is currently negotiating with the E.U. ahead of an Aug. 1 deadline to clinch a comprehensive deal. Otherwise, Trump threatened to put in place a 30% tariff on its imports. A 50% universal tariff is already enacted on all steel and aluminum, which includes the E.U.
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EU trade commissioner Maroš Šefčovič offered a glum assessment on the talks to E.U. diplomats in Washington D.C., the FT report said.
U.S. stocks fell during Friday's trading session. The Dow Jones Industrial Average had shaved nearly 200 points by the afternoon. The S&P 500 index proved sturdier and dipped only five points.
Spokespeople for the White House and the European Commission didn't immediately respond to a request for comment.
The 27 nations of the European Union make it the biggest U.S. trading bloc with $605 billion in imports, much of it consisting of pharmaceuticals, autos, and aircraft. E.U. Commission President Ursula von Der Leyen has previously said the E.U. is ready to retaliate with tariffs of its own on certain U.S. sectors if necessary.
So far, the Trump administration has negotiated two skinnier trade agreements with the U.K. and Indonesia. The latest agreement with Indonesia left in place a 19% tariff on its exports to the U.S. while clearing the way for U.S. products to enter the country duty-free.