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EU approves counter-tariffs on US goods, says trade deal within reach
Published by Global Banking and Finance Review
Posted on July 24, 2025
3 min readLast updated: January 22, 2026
Global Banking and Finance Review
Company
Published by Global Banking and Finance Review
Posted on July 24, 2025
3 min readLast updated: January 22, 2026
The EU has approved counter-tariffs on US goods amid hopes for a trade deal, focusing on avoiding 30% US tariffs. A potential 15% tariff on EU goods is discussed.
By Philip Blenkinsop
BRUSSELS (Reuters) -The European Commission said on Thursday a negotiated trade solution with the United States is within reach - while EU members voted to approve counter-tariffs on 93 billion euros ($109 billion) of U.S. goods in case the talks collapse.
The 27-nation bloc's executive has repeatedly said its primary focus is on reaching a deal to avert 30% U.S. tariffs that U.S. President Donald Trump has said he will apply on August 1.
"Our focus is on finding a negotiated outcome with the U.S. ... We believe such an outcome is within reach," an EU spokesperson said in response to reporters' questions.
Alongside negotiations, the Commission has pressed on with plans for potential countermeasures, merging two packages of proposed tariffs of 21 billion euros and 72 billion euros into a single list and submitting this to EU members for approval.
The rate would be up to 30%, designed to mirror U.S. tariffs, EU sources said.
Diplomats said EU countries overwhelmingly approved the measures on Thursday, which the Commission later confirmed.
The first package of countermeasures would enter force on August 7, with tariffs on soybeans and almonds delayed until December 1, an EU official said. The second package would enter force in two stages on September 7 and February 7.
So far the EU has held back from imposing any countermeasures, despite Trump's tariffs already covering 70% of EU exports. EU member states authorised the first package of countermeasures in April, but these were immediately suspended to allow time for negotiations.
CLOSING ON DEAL
The EU and United States now appear to be heading towards a possible trade deal, according to EU diplomats, which would result in a broad 15% tariff on EU goods imported into the U.S., mirroring a framework agreement Washington struck with Japan. Trump would still need to take any final decision.
The White House said discussions of a deal should be considered "speculation". Trump trade adviser Peter Navarro told Bloomberg News the report from the EU should be taken with "a grain of salt."
French Finance Minister Eric Lombard and Italian Industry Minister Adolfo Urso told a joint press conference in Paris they were not aware of a draft agreement, Urso adding he would only pass judgment when one was reached.
There was little information available about what the EU would offer the United States to secure a deal. One EU diplomat said the bloc was not looking at a pledge of investment in the United States, as Japan has agreed.
Another said the EU might reduce some of its own duties. Its current import duty for cars is 10%.
Under the outlines of the potential deal, the 15% rate could apply to sectors including cars and pharmaceuticals and would not be added to long-standing U.S. duties, which average just under 5%.
There could also be exemptions for sectors such as aircraft, lumber as well as some medicines and agricultural products, which would not face tariffs, diplomats said.
Washington does not, however, appear willing to lower its 50% tariff on steel.
($1 = 0.8501 euros)
(Reporting by Philip Blenkinsop and Benoit Van Overstraeten, additional reporting by Julia Payne and Leigh Thomas; editing by Tomasz Janowski, Peter Graff and Hugh Lawson)
The European Commission stated that a negotiated trade solution with the United States is within reach, while EU members approved counter-tariffs on 93 billion euros.
The proposed counter-tariff rates by the EU could be up to 30%, designed to mirror U.S. tariffs.
The first package of countermeasures is set to enter force on August 7, with certain tariffs on soybeans and almonds delayed until December 1.
The negotiations could lead to a broad 15% tariff on EU goods imported into the U.S., which would not be added to existing U.S. duties averaging just under 5%.
Exemptions from the proposed tariffs could include sectors such as aircraft, lumber, some medicines, and agricultural products.
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