EU-USA: Trump grants a reprieve in the trade war

The US President postponed his threat to tax European products by 50% until July 9, following a “constructive call” with Ursula von der Leyen.

This extension comes after months of tension, when steel and aluminum tariffs had already risen to 25%. Markets breathe a sigh of relief, but uncertainty persists.

With $1,100 billion in annual trade, the EU and the USA cannot afford an open trade war. The President of the European Commission promises “accelerated negotiations”, but disagreements remain deep-rooted: subsidized American agriculture versus strict European standards.

This fragile respite hides a reality: taxes of 10% on certain products remain in force. Businesses on both sides of the Atlantic, particularly in the automotive and agri-food sectors, are calling for a lasting solution, before this conflict permanently undermines their competitiveness.

source: Les Echos