The EU refuses to compromise as trade tensions between the US and Europe escalate.

Since the inauguration of U.S. President Trump in January 2025, Washington has launched a massive trade offensive globally, with traditional ally the European Union not spared. Despite being at the center of the trade war storm, the EU has shown a strong stance amid persistent pressure from the U.S. and continual tariff increases, clearly stating it will not rush into an agreement with the U.S. under unfair terms.

The EU Emphasizes Its Strong Negotiating Position

EU officials emphasized that as one of the world's top three economies, the EU holds significant influence in the global trade system and will not be forced to accept a pressured agreement from the U.S. EU Trade Commissioner Maroš Šefčovič recently stated in an interview, "We do not feel we are in a weak position, nor do we feel over-pressured to reach an unfair agreement."

The EU aims for a trade agreement with the U.S. that is not only fair but also superior to the limited trade agreement signed between the U.S. and the UK. European Commission President Ursula von der Leyen publicly stated that if she visits the White House, she hopes the two sides can engage in comprehensive discussions on a "package plan" rather than just pursuing symbolic short-term outcomes.

US-EU Discrepancies Widen, Tariff Threats Escalate

Currently, the U.S. imposes import tariffs of up to 25% on EU steel, aluminum, and automotive products, and a 10% "benchmark tariff" on most other goods. Additionally, the Trump administration has threatened further tariffs on critical goods such as pharmaceuticals, semiconductors, key minerals, timber, and trucks.

Although the U.S. claims to provide a 90-day grace period, the pressure of "reciprocal tariffs" still looms over the EU. Trump, in a White House press conference this week, once again criticized the EU as an "unfair trade entity," predicting the EU would ultimately make "major concessions." Meanwhile, U.S. Treasury Secretary Bes used to warn that EU negotiations are "progressing slowly," citing "collective action problems" within the EU, contrasting with the progress of negotiations between the U.S., the UK, and Switzerland.

Complex Negotiation Backdrop, EU Seeks Comprehensive Solution

Since Trump took office, European Commission President Ursula von der Leyen has only had brief contact with him at the funeral of Pope Francis, without any formal meeting. Although both sides expressed willingness, no actual negotiation arrangement has been made, and progress remains extremely limited.

The EU emphasizes that its trade volume with the U.S. is six times that of U.S.-UK trade and should thus occupy a higher priority in bilateral consultations. The EU has also sent a strong message that if negotiations break down, it will impose retaliatory tariffs on U.S. goods worth €95 billion.

Conclusion: The EU Unwilling to Be a Negotiation Sacrifice

US-EU trade relations are at a critical juncture. The tariff pressure imposed by the Trump administration has not forced the EU to compromise but rather sparked its resolve to uphold its own interests. Emphasizing fairness and reciprocity, the EU prefers to advance a comprehensive agreement covering multiple fields and ensuring long-term stability, rather than merely satisfying the short-term political demands of the U.S.

With escalating tariff threats and political rhetoric, the future trajectory of negotiations between the U.S. and the EU remains uncertain over the coming months. Whether the two sides can break the deadlock and reach a mutually beneficial solution will be a crucial variable influencing the global trade landscape.

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