U.S. officials have informed the EU’s trade chief that President Trump is likely to demand further concessions in ongoing trade talks, including a higher baseline tariff of 15% or more on most European goods — a significant increase from the previously discussed 10%, according to sources familiar with the discussions.
The shift has caught EU negotiators off guard and sparked a harder stance within the bloc. Germany, which had previously taken a more conciliatory tone, is now aligning with France’s more confrontational approach. With an August 1 deadline looming, EU member states are urging the European Commission to prepare aggressive countermeasures — including actions beyond tariffs — targeting U.S. companies if talks collapse. One German official warned bluntly: “If they want war, they will get war.”
Info via the Wall Street Journal (in very brief).
EUR/USD has been rangebound during the session to open the week here.
This article was written by Eamonn Sheridan at investinglive.com.