No significant progress has been made in the EU-US trade negotiations, according to the EU’s trade commissioner Maroš Šefčovič, while Donald Trump intends to begin dispatching letters to trading partners to inform them of their tariff rates as early as today.
In a social media update, Mr. Šefčovič indicated that he was returning to Brussels after discussions with his US counterparts in Washington DC, stating that negotiations would carry on.
Both parties have until 9 July to finalize a deal to avoid a potential trade war escalation.
Mr. Šefčovič and his team were in Washington DC meeting with US trade secretary Jamieson Greer, treasury secretary Scott Bessent, and commerce secretary Howard Lutnick.
Concluding a fruitful week in Washington, DC. It was great to meet with @USTradeRep @jamiesongreer, Secretary @howardlutnick, and @SecScottBessent.
Heading back to Brussels – the work continues. Our objective remains the same: to achieve a good and ambitious transatlantic trade deal. pic.twitter.com/kqbk1VNShI
— Maroš Šefčovič (@MarosSefcovic) July 4, 2025
While he did not elaborate on the proximity of a deal, he noted that efforts are ongoing. Our ambition remains unchanged: “a good and ambitious transatlantic trade deal.”
At the launch of the Danish Presidency of the EU, European Commission President Ursula von der Leyen mentioned that the best possible outcome before next Wednesday’s deadline would be an agreement in principle, as a standard free trade agreement between such large trading blocs would take considerably longer than the time frame given.
Mr. Trump has warned of a potential 50% increase in tariffs on European goods if an agreement is not reached.
The European Commission is believed to have accepted a potential 10% baseline tariff on EU exports, while advocating for various exemptions for vital sectors such as aviation, pharmaceuticals, and semiconductors.
The US President announced plans to start sending letters today to notify trading partners of their tariff rates.
“I intend to send out a letter detailing the tariffs they will be paying,” he informed reporters last night.
“It’s simply much easier.”
So far, the Trump administration has only disclosed agreements with the UK and Vietnam, while Washington and Beijing have temporarily agreed to reduce significantly high tariffs on each other’s products.
During a US television interview, treasury secretary Scott Bessent remained noncommittal, stating that the US will “see what we can do” regarding a trade agreement with the European Union.
In the meantime, Tánaiste and Minister for Foreign Affairs and Trade Simon Harris is in Berlin for discussions with his new German counterpart, Federal Minister for Foreign Affairs Johann Wadephul.
The talks will concentrate on securing an EU-US trade deal, the present situation in the Middle East, Ukraine, defense and security, as well as European competitiveness and the forthcoming EU budget.
