US-EU Trade Talks Stall as Tariff Deadline Looms

Negotiations between the US and EU remain deadlocked with less than a week before the August 1 deadline. Without an agreement, EU goods entering the US could face an automatic 30% tariff—down from earlier threats of 50%, but still a significant economic blow. An EU diplomat suggested a potential compromise at a 15% base rate, including existing duties, though nothing is finalized. "There could also be some exemptions still being worked out," the source noted.

Analysts view a 15% tariff as a "positive outcome" compared to previous threats, but uncertainty prevails. The final decision rests with President Trump, with one EU official cautioning that reports of progress are "too optimistic." The WHITE House has yet to clarify its stance, leaving markets and industries on both sides of the Atlantic in suspense.