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EU Has No Clue About U.S. Intentions to Lift Reciprocal Tariffs After Stalled Trade Talks

The European Union is still waiting for the United States to clarify its demands for lifting trade tariffs, following a two-hour meeting between top negotiators that yielded little progress.EU trade c

The European Union is still waiting for the United States to clarify its demands for lifting trade tariffs, following a two-hour meeting between top negotiators that yielded little progress.

EU trade commissioner Maroš Šefčovič met U.S. Commerce Secretary Howard Lutnick on Monday to discuss removing reciprocal tariffs and levies on steel, aluminum, and cars. However, according to the European Commission, the U.S. failed to outline what it wants in return.

"We need to hear more from the Americans. We need to have a clearer idea of what their preferred outcomes are in these negotiations," said EU trade spokesman Olof Gill on Tuesday.

Šefčovič reiterated the EU's longstanding proposal to mutually eliminate all industrial goods tariffs. "The EU is doing its part. Now, it is necessary for the US to define its position. As with every negotiation, this must be a two-way street... with both sides bringing something," Gill added.

The lack of U.S. clarity comes after President Donald Trump imposed — then quickly paused — broad reciprocal tariffs on global trading partners, justifying the move by pointing to trade imbalances. The EU was assigned 20% of those tariffs based on its $235 billion goods surplus with the U.S. in 2024.

Trump has previously called on the EU to purchase more liquefied natural gas — a move Brussels supports in principle — and has criticized the bloc over restricted access for U.S. cars and agricultural goods. In particular, he has taken issue with the EU's bans on U.S. chicken rinsed in chlorine and hormone-treated beef, as well as its digital regulations and VAT system.

Although the U.S. ultimately scaled back the reciprocal tariffs to a 10% levy for most countries for 90 days, the administration has begun exploring new tariffs on semiconductor and pharmaceutical products. Šefčovič emphasized the importance of transatlantic supply chain resilience in those sectors.

Monday's discussion was described as a "focused scoping" session, touching on a potential zero-tariff deal and concerns over global steel and aluminum overcapacity. Gill noted that the EU considers food safety standards "sacrosanct" and non-negotiable.

"The commissioner reiterated that the EU and the US share many challenges and could address them jointly to the benefit of both sides," Gill said.

He added, "The EU will continue to approach these talks in a constructive manner, with a view to identify areas of common interest. It is clear that significant joint efforts will be needed to achieve a successful outcome within the 90-day window."

In the meantime, the EU has paused its retaliatory tariffs on U.S. steel and aluminum until July 14 and is preparing additional measures in case talks fail to produce a resolution.

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