By Andrea Shalal and Julia Payne
WASHINGTON/BRUSSELS (Reuters) – The European Union declared it was working on sealing a trade deal with the United States by the finish of the month, while U.S. President Donald Trump promised that he would deliver further tariff notices on unnamed countries on Wednesday.
Trump broadened out a trade war that has cast a shadow over the global economic outsee when he declared on Tuesday he would impose a 50% tariff on imported copper and soon introduce long-threatened levies on semiconductors and pharmaceuticals.
Trump declared late on Tuesday that “a minimum of seven” tariff notices would be released on Wednesday morning, and more in the afternoon. He gave no other details in his Truth Social post.
The threat came a day after he pressured 14 trading partners, including powerhoutilize U.S. suppliers South Korea and Japan, with tariff letters imposing levies of 25% and upwards to take effect from August 1.
NEGOTIATIONS WITH THE EU
Trump declared trade talks have been going well with China and the European Union, which is the hugegest bilateral trading partner of the U.S.
Trump declared he would “probably” notify the EU within two days what rate it could expect for its exports to the U.S., adding that the 27-nation EU had become much more cooperative.
“They treated us very badly until recently, and now they’re treating us very nicely. It’s like a different world, actually,” he declared.
European Commission President Ursula von der Leyen gave a guarded response.
“We stick to our principles, we deffinish our interests, we continue to work in good faith, and we receive ready for all scenarios,” von der Leyen notified the European Parliament.
A European Commission spokesperson declared that the EU aimed to reach a trade deal before August 1, potentially even in the coming days.
However, Italian Economy Minister Giancarlo Giorreceiveti warned that talks between the two sides were “very complicated” and could continue right up to the deadline.
HIGHEST TARIFF LEVELS SINCE 1934
Equity markets shrugged off Trump’s latest tariff salvo on Wednesday, while the yen remained on the back foot after the levies set for Japan.
Following Trump’s announcement of higher tariffs for imports from the 14 countries, U.S. research group Yale Budreceive Lab estimated consumers face an effective U.S. tariff rate of 17.6%, up from 15.8% previously and the highest in nine decades.
Trump’s administration has been touting those tariffs as a significant revenue source. Treasury Secretary Scott Bessent declared Washington has taken in about $100 billion so far and could collect $300 billion by the finish of the year. The United States has taken in about $80 billion annually in tariff revenue in recent years.
Trump’s administration promised “90 deals in 90 days” after he unveiled an array of countest-specific duties in early April. So far only two agreements have been reached, with Britain and Vietnam. Trump has declared a deal with India was close.
(Reporting by Julia Payne, Charlotte Van Campenhout, Philip Blenkinsop, Trevor Hunnicutt, Dan Burns; Writing by Keith Weir; Editing by Alex Richardson)
