EU warns that a baseline Trump tariff would still lead to retaliation | Forexlive

Ok, we’re done with the Israel-Iran war, now back to the US vs World trade war.

The EU is a big one here because it’s the strongest trade bloc that the US is negotiating with. They will also find it very hard to compromise given all the countries involved in the negotiations. Ultimately, they will have to decide to roll over or fight back. I expect it will be contentious at some point.

The report from Bloomberg says Boeing could be targetted.

“We will need to retaliate and rebalance in some key sectors if the US insists on an asymmetrical deal,” the EU’s industry chief, Stephane Sejourne, told Bloomberg News, including if the “outcome of the negotiations is that a 10% tariff remains.”

On the upside, the report says ‘negotiations have gained speed’.