The European Commission expects the United States to begin implementing the new trade agreement with 15% tariffs on European goods from Friday, 1 August, pending a presidential decree from Donald Trump.
To prevent the onset of a trade war, Brussels and Washington agreed on a 15% tariff on European goods entering the US, with some exemptions, such as for the aerospace sector.
However, many details remain unclear, pending a “joint statement,” currently under negotiation, that will guide talks towards a legally binding trade agreement.
Brussels has promised a joint communiqué with Washington in the coming days to clarify agreement terms, as much remains uncertain for sectors like pharmaceuticals and steel.
The US set a deadline of 1 August for concluding a trade deal, after which tariffs of 25-30% were to take effect. If the joint declaration is not finalised by Friday, “the EU assumes the US will apply the 15% tariffs agreed upon," Commission Spokesperson Olof Gill said on Thursday. "We also assume the exceptions to this cap, as described by Commission President Ursula von der Leyen last Sunday, will apply,”
“The ball is now in the Americans’ court,” Gill added, suggesting uncertainty about future actions.
The Commission does not expect agreed quotas on steel and aluminium to take effect immediately, and it was unclear whether zero tariffs on aircraft parts or microchips, for example, will be implemented.
The EU has suspended its retaliatory tariffs on US goods worth €93 billion until 6 August. “If everything goes as planned, we will certainly suspend these retaliatory tariffs again,” the Commission spokesperson said.
Negotiations for additional exemptions continue, particularly for products such as wine and spirits that are crucial to countries like France and Italy.
Gill said the Commission was determined to secure as many exemptions as possible, including for traditional EU products such as wine and spirits. “We do not expect these products to be in the first group of exemptions announced by the US tomorrow, hence they will be subject to a 15% tariff.”
