With Donald Trump’s self-imposed July 9 deadline fast approaching, Europe’s food and farm produce exports are on the line, facing a threatened 17% tariff from the US. This potential duty would significantly impact beloved European products, including popular Belgian chocolate, Irish Kerrygold butter, and olive oil from Italy, Spain, and France, which are major sellers in the American market.
The warning was reportedly delivered during high-level talks in Washington to EU trade commissioner Maroš Šefčovič by prominent US officials, signaling a clear escalation in trade tensions. The EU’s ambassadors were promptly briefed on Friday, underscoring the severity of Trump’s “aggressive negotiating position,” which he once described as “nastier” than China in trade.
Despite the looming threat, EU trade spokesperson Olof Gill emphasized the bloc’s commitment to a “negotiated solution” and confirmed that “progress was made towards an agreement in principle” in recent discussions. However, the European Union is simultaneously making robust preparations for a potential trade war, readying retaliatory tariffs on a wide range of US products, from Bourbon to Boeing 747s, should an agreement not be reached before the Wednesday deadline.
European Commission President Ursula von der Leyen has clarified that the EU is pursuing a high-level framework deal, acknowledging the impracticality of a comprehensive agreement in the current timeframe. A critical demand from the EU is immediate tariff relief in key sectors, particularly the automotive industry, which currently faces a substantial 27.5% US tariff. The expiration of the 90-day tariff pause for dozens of countries, including the EU, on Wednesday, amplifies the urgency of these crucial trade negotiations.