- Trump said trade talks with China are progressing, but EU deal odds remain at “50-50.”
- EU faces a potential 30% tariff if no trade agreement is reached by August 1.
- U.S. and China will hold further negotiations next week in Stockholm to address key trade issues.
President Donald Trump shared on Friday that trade discussions with China are making progress, though the possibility of striking a deal with the European Union remains uncertain. Speaking before his trip to Scotland, Trump said there’s “a 50-50 chance, maybe less,” of finalizing an agreement with the EU, noting that both sides are working “closely” to secure terms.
U.S.-EU Tariff Standoff
Earlier this month, Trump sent a tariff warning letter to the EU, threatening a 30% tariff on most European goods if a deal isn’t reached by August 1. European negotiators are reportedly aiming for a 15% tariff baseline, which would be the lowest rate Trump has set in trade agreements so far.
China Negotiations Continue
Talks with China are ongoing, with negotiators set to meet in Stockholm next week to discuss extending the August 1 deadline. Treasury Secretary Scott Bessent emphasized that Trump’s priorities include reviving domestic precision manufacturing and addressing “imbalanced” trade relationships with China. Discussions are expected to focus on agricultural purchasing agreements and issues related to China’s oil imports from sanctioned nations.
Broader Trade Progress in Asia
Trump has already signed trade deals with several other Asian countries, including Indonesia, Vietnam, and the Philippines. These agreements highlight his administration’s efforts to strengthen U.S. economic ties across the region while balancing competition with major players like China.
