BRUSSELS: Top EU trade negotiator Maros Sefcovic is set to speak with US Commerce Secretary Howard Lutnick on Wednesday as tensions over tariffs escalate between the transatlantic allies.
The European Commission confirmed the talks, emphasizing efforts to reach a negotiated solution while preparing retaliatory measures worth over $100 billion if discussions fail.
“The EU’s primary focus is on achieving a negotiated outcome with the US,“ said European Commission trade spokesman Olof Gill. “Intensive technical and political level contact is ongoing.”
The discussions come just before the commission updates EU capitals on the status of trade negotiations with the US. Gill noted that while dialogue remains the priority, Brussels is readying countermeasures should talks collapse. “We continue in parallel to prepare for all outcomes including potential additional countermeasures,“ he said.
The EU has already approved retaliatory tariffs set to take effect on August 7 if no agreement is reached. Wednesday’s meeting marks the first high-level political discussion since Sefcovic visited Washington last week for talks with Lutnick, US Trade Representative Jamieson Greer, and National Economic Council director Kevin Hassett.
Brussels has been balancing negotiations with contingency plans, merging two existing tariff lists into a single package worth 93 billion euros ($108 billion). This combined list, targeting US goods, will be submitted to EU member states for approval and could be enforced as early as next Thursday if talks falter.
France and Germany have recently taken a firmer stance, urging a strong response if negotiations fail. Meanwhile, European diplomats revealed that the commission is also drafting restrictions on US services firms, including tech and financial sectors, as a further escalation measure. – AFP
