Media: EU moves to scrap US tariffs to avert Trump trade threat

The European Union is preparing to fast-track legislation that would eliminate import duties on US industrial goods, in an effort to comply with a trade arrangement reached with Washington and avoid threatened tariff increases from US President Donald Trump.

EU negotiators were expected to reach a final agreement on Tuesday (May 19) on the legal framework needed to implement commitments made under a deal struck last year, Caliber.Az reports, citing Reuters.

In return for removing tariffs on US industrial products and offering preferential access for American agricultural and seafood exports, Washington is expected to maintain 15% tariffs on most EU goods.

However, the agreement has yet to be formally enacted in law, with disagreements persisting between the European Parliament and EU governments over safeguards designed to ensure reciprocal compliance.

Lawmakers are pushing for stronger protections, including mechanisms that would delay tariff cuts until the United States fully implements its obligations, alongside provisions allowing the EU to suspend concessions if the agreement is breached. A proposed “sunset clause” would also automatically end tariff reductions in 2028.

US President Donald Trump has warned that failure to implement the deal by 4 July could trigger significantly higher tariffs on EU exports, including potential increases on automobile imports. His administration had previously floated raising car tariffs to 25% from 15%.

Despite political divisions within the bloc, EU officials expect the legislation to clear remaining hurdles in the coming weeks, enabling the tariff reductions to take effect before Washington’s deadline.

By Aghakazim Guliyev