Ursula von der Leyen and Donald Trump are set to meet when a resolution regarding tariffs is ready for signing, as indicated by the European Commission following a brief interaction during Pope Francis’s funeral. This meeting aims to address significant tariff negotiations and marks the first conversation between von der Leyen and Trump since his return to the White House. Until now, Trump has engaged with other European leaders but left discussions with Brussels predominantly to lower-ranking officials, which has raised concerns among EU member states regarding the stagnation of vital negotiations.
Currently, there is no scheduled date for the anticipated meeting, but the Commission spokesperson emphasized that the right timing will be when a comprehensive package addressing various tariff issues is ready for agreement. The talks are ongoing at a technical level, with the European Commission working to refine and solidify these discussions into a specific agreement that could be presented to both leaders. No additional information concerning potential locations or dates for this high-level meeting has been shared.
Trump’s tariffs have broadly impacted international trade, imposing a 20% rate on goods from the EU, along with hefty duties on steel, aluminum, and vehicles, among others. Following a significant market downturn, Trump retracted some tariffs, temporarily lowering the 20% levy to 10%, while maintaining the 25% duty on other imports. In response, von der Leyen postponed EU countermeasures, aiming to facilitate a negotiation window under her call for a “zero-for-zero” tariff agreement concerning all industrial goods.
Despite ongoing discussions, the European Commission remains in the dark regarding Trump’s ultimate objectives and what concessions may be necessary to shift his stance. Observers note that Trump’s priorities—whether to rebalance trade relations, generate revenue through tariffs, or promote domestic re-industrialization—may not be aligned. While Trump maintains that his tariff strategy is essential for U.S. economic wealth, he is simultaneously open to dialogue, insisting on “fair” deals with other nations.
Complicating the negotiations further, the U.S. administration has proposed that non-tariff barriers, such as value-added tax and food safety standards, should be included in any trade discussions. The EU counters that these matters are unrelated to trade flows and should be excluded from negotiations. Additionally, efforts to lessen the EU’s economic reliance on China as a means to appease Trump have been rejected.
As the situation unfolds, U.S. Treasury officials have highlighted the unpredictability surrounding the tariffs as “strategic uncertainty,” encouraging nations to eliminate trade barriers. The administration leverages high tariffs to create negotiation leverage, presenting a dual strategy involving both punitive measures and the allure of potential compromises. This complex environment has left the European Commission navigating challenging dynamics as it seeks to identify a path forward in U.S.-EU trade relations.
