US threatens EU with 17% tariff on food exports, says FT

The United States has threatened to impose a 17% tariff on agricultural exports from the European Union (EU) amid ongoing negotiations between the two parties to reach a trade deal before the deadline set by President Donald Trump to establish so-called “reciprocal tariffs.” The information was reported by the British newspaper Financial Times.

According to the FT, the threat to tax European agricultural products was made during a meeting yesterday in Washington between US government officials and the EU’s trade representative, Maros Sefcovic, who relayed the demand today to the ambassadors of the 27 member states of the bloc.

The US and EU are trying to reach a trade agreement before next Wednesday, when the tariffs announced by Trump on April 2—referred to by him as “Liberation Day”—are scheduled to retake effect. At the time, European products were subjected to a 20% surcharge, later reduced to 10% during the 90-day truce declared by the American president.

Trump wants the EU to grant broad regulatory exemptions to American companies and reduce its trade surplus with the US, according to the FT.

Source: Valor Econômico

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