Trump Anticipates Finalizing Trade Agreement with EU During Talks with Italy’s Prime Minister Giorgia Meloni

In a recent high-profile discussion with Italian leader Giorgia Meloni, former U.S. President Donald Trump expressed confidence in reaching a comprehensive trade accord with the European Union. The negotiations, which have been ongoing for several months, are expected to address key economic and regulatory frameworks between the U.S. and EU member states. Trump emphasized the potential benefits for both parties, highlighting reduced tariffs and streamlined commerce. This development comes amid broader geopolitical shifts and could significantly impact transatlantic trade relations moving forward.

Trump’s remarks followed his decision last week to pause higher tariffs on the EU and others, opening a 90‑day negotiating window. Talks are expected to run through early July, according to U.S. officials, leaving little time to bridge differences.

Without a settlement, the bloc faces a 20 percent “reciprocal” tariff, double the present 10 percent tariff. EU officials are drafting limits on certain exports to the United States and still hold in reserve a package of retaliatory levies prepared before Trump’s pause.

When asked if Europe would proceed with those steps, Meloni said she was “confident” a deal could avert an escalation. Trump said he still wants “a baseline of a substantial number” of duties left in place, suggesting full removal is off the table.

Italy serves as a bridge between the U.S. and Brussels

Italy, a Group of Seven economy and ideological ally of the White House, is viewed as a bridge between the administration and Brussels while markets fret about a wider slowdown.

Trump has been busy speaking with several nations. Meloni’s meeting came a day after he hosted a Japanese delegation and spoke with Mexican President Claudia Sheinbaum over the phone. 

Treasury Secretary Scott Bessent said the United States is focusing first on the 15 largest economies, with sessions set next week with South Korea and ongoing contacts with India.

“We have a lot of countries that want to make a deal,” Trump said. “Frankly, they want to make deals more than I do.”

Italian officials approached Thursday’s talks with modest hopes. U.S. aides have indicated most EU duties will stay, and technical meetings earlier in the week showed little movement. 

Washington also maintains extra charges on cars, steel, and aluminum, key Italian exports. About 10 percent of Italy’s overseas sales go to the United States, including autos, pharmaceuticals, food and wine, all vulnerable to the tariffs.

Beyond trade, Trump pressed European allies to spend more on defense. Italy has been raising its military budget and is drafting plans to meet NATO’s 2 percent‑of‑GDP goal. That is well below Trump’s preferred 5 percent and would require major fiscal changes in Rome.

“Europe, as you know, is committed to do more,” Meloni said, promising to push member states to lift outlays.

She will host U.S. Vice President JD Vance on Friday. Vance has taken a combative stance on Europe, scolding leaders at February’s Munich Security Conference and accusing them of slipping on democratic values.

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