The European Union’s trade chief Maros Sefcovic will hold talks with his US counterpart in Paris on Tuesday after President Donald Trump threatened to hike tariffs on EU cars to 25%.
BRUSSELS: The European Union’s trade chief Maros Sefcovic will hold talks with his US counterpart on Tuesday in Paris, an EU spokesman said, following President Donald Trump’s latest tariffs threat.
Trump said Friday that he will hike US levies on EU cars and trucks from this week to 25%, accusing the bloc of not complying with a tariff agreement reached last summer.
US Trade Representative Jamieson Greer told CNBC on Monday that EU officials have not adjusted their tariffs or rules yet despite the pact: “They’ve moved a tariff bill along in the European Parliament. It’s been very slow.”
He noted the move also had some amendments that would “limit the deal”.
“After discussing this with our European colleagues over many, many months, the president decided that if the Europeans aren’t implementing the deal right now, then we don’t have to implement all of it either at this time,” Greer added.
The EU dismissed the claim and insisted it remained committed to the deal.
“Since day one, we are implementing the joint statement, and we’re fully committed to delivering on our shared commitments,” EU spokesman Thomas Regnier said.
Sefcovic will meet Greer on the margins of a G7 ministerial meeting in Paris on Tuesday, the spokesman added, as he noted talks between the two sides continued at different levels.
The trade deal struck last summer lowered the US tariff on EU autos to 15%, which is below the 25% duty that Trump imposed on vehicles from many other trading partners.
The European Parliament has given its conditional approval to the EU-US trade pact, but under EU procedures, before the deal is implemented by the bloc, a final version still needs to be negotiated with member states.
Regnier said the EU kept Washington “fully informed throughout the process” and sought to “reassure the other side of the Atlantic, work is ongoing. Progress is being made”.
While the EU has warned it is keeping its options open, Regnier refused to speculate on how the EU would act if the tariffs kick in.
“We will not escalate any threats. We focus on the implementation phase,” he said.
