EU-US Trade Deal May Be Last, Says Commerce Secretary

U.S. Secretary of Commerce Howard Lutnick has expressed that the European Union may be one of the last economic entities to reach a trade agreement with the United States. Lutnick, who has long held a critical view of the EU, suggested that negotiations with the EU are particularly challenging and may be nearing their conclusion. This statement comes as the U.S. government is intensifying efforts to secure tariff agreements with various trading partners.

Lutnick's remarks highlight the complexities involved in reaching a trade agreement with the EU. The EU has historically been one of the most difficult negotiating partners for the U.S., and the ongoing trade tensions have further complicated the process. The U.S. has been actively pursuing trade deals with multiple countries, but the EU's stringent regulations and differing economic priorities have made progress slow and arduous.

In response to President Donald Trump's threat to raise tariffs to 50%, negotiations with the EU have accelerated, but they remain slower compared to discussions with other nations. To allow more time for negotiations, Trump has postponed the implementation of the 50% tariff increase until July 9th. Lutnick noted that the EU's approach to negotiations has shifted from being merely "difficult" to becoming more serious, with the EU finally presenting a viable proposal.

Despite the challenges, Lutnick remains optimistic about the potential for a trade agreement with the EU, although he acknowledges that it may be one of the last to be finalized. The U.S. and EU have been in continuous dialogue, with regular communications between EU Trade Commissioner Maros Sefcovic, Lutnick, and U.S. Trade Representative Jamison Grill. The EU officials believe that reaching an agreement on the principles of the deal before the July deadline would be the best-case scenario, allowing for further details to be ironed out afterward.

Lutnick also anticipates that agreements with other countries will be announced in the coming weeks, with a series of deals expected to be finalized in the near future. This strategic approach aims to diversify trade relationships and reduce dependence on any single market, fostering a more balanced and fair trading environment. The outcome of these negotiations will have significant implications for global trade dynamics and the U.S.'s role in the international economy.