EU Considers Reducing or Removing Car Tariffs Under Trump Pressure... 'Trade Talks' with US Today

"Prepared to Discuss Tariff Reductions and Even Elimination"
On U.S. Concerns Over 'EU Big Tech Regulations': "Willing to Discuss"
Meeting Scheduled with Trump's Second-Term Trade Team

The European Union (EU) announced on the 19th (local time) its intention to reduce and eliminate tariffs on major items, including automobiles, in response to U.S. President Donald Trump's threat of a 'tariff bomb.' The EU is expected to present various concessions to the trade team of Trump's second administration in an effort to avoid a trade war and to 'appease Trump.'

Maros Sefcovic, EU Commissioner for Trade and Economic Security, stated at an event hosted by the American Enterprise Institute (AEI), a U.S. think tank, in Washington D.C. that day, "We are ready to discuss tariff reductions and even the elimination of tariffs on industrial products," adding, "This readiness includes a review of automobile tariffs."

He emphasized that the EU will "do its best" to avoid an escalation of tariff conflicts. While noting that if President Trump acts on his tariff threats, "we have no choice but to respond firmly and swiftly," he also expressed hope to "avoid scenarios that cause unnecessary pain through measures and countermeasures."

President Trump has long criticized the U.S. trade deficit with the EU, particularly targeting high tariffs on automobiles. The U.S. imposes a 2.5% tariff on passenger cars, while the EU imposes a rate four times higher at 10%. He announced on the previous day that measures imposing tariffs of about 25% on automobiles entering the U.S., as well as tariffs exceeding 25% on semiconductors and pharmaceuticals, would be introduced by April 2. The U.S. also recorded a goods trade deficit of 200 billion euros with the EU last year, an increase of more than 25% compared to the previous year.

Commissioner Sefcovic also said he is prepared to discuss President Trump's dissatisfaction with the EU's overregulation of U.S. big tech companies.

He explained that EU regulations "are not actually discriminatory in nature nor aimed specifically at U.S. big tech," but are measures intended to protect small businesses from large corporations.

Commissioner Sefcovic plans to bring negotiation proposals, including tariff reductions toward the U.S. and discussions on big tech regulations, to talks with Trump's second-term trade team that afternoon. Meetings are scheduled with nominees such as Katherine Tai, U.S. Trade Representative (USTR), Kevin Hassett, Chairman of the White House National Economic Council (NEC), and Secretary of Commerce Wilbur Ross. The EU is expected to present various concessions, including increasing imports of U.S. liquefied natural gas (LNG) to reduce its trade surplus with the U.S. Currently, the EU is reported to be pursuing a two-track strategy that simultaneously considers negotiations and retaliatory measures in response to President Trump's tariff threats.