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31 May, 2025
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EU “All In” on Trade Talks Following US Court Ruling
@Source: jowhar.com
The EU is “fully committed” to negotiating a deal with the United States to prevent extensive tariffs, according to the bloc’s trade chief, following a US court’s decision that deemed the contentious measures unconstitutional. “We are fully invested in time and effort, as achieving forward-looking solutions is a key priority for the EU. We maintain constant communication,” EU Trade Commissioner Maroš Šefčovič stated on X after a conversation yesterday with US Commerce Secretary Howard Lutnick. However, Mr. Šefčovič refrained from commenting on the ongoing court issues in the US. In a ruling on Wednesday, the US Court of International Trade blocked the majority of the tariffs introduced since US President Donald Trump assumed office. Yet, an appeals court upheld his expansive import duties on China and various other trading partners the following day. Mr. Šefčovič has previously mentioned he had talks with his US trade counterparts on Friday, Saturday, and Monday as both parties intensified discussions amid last week’s tensions. Last Friday, Mr. Trump threatened, but later postponed, significant tariffs on EU products, expressing his dissatisfaction that negotiations with the EU were “going nowhere.” Read more: Which tariffs did a US court block and what comes next? In April, Mr. Trump announced broad import duties on nearly all trading partners, starting at 10%, along with increased levies on various economies, including China and the EU, which have since been put on hold. The US court’s decision also negated duties that Mr. Trump enforced on Canada, Mexico, and China separately using emergency powers, but it maintained the 25% tariffs on imported cars, steel, and aluminum. Trump indicates renewed trade tensions with China Today, US President Donald Trump indicated revived trade issues with China, claiming that Beijing has “violated” an agreement aimed at reducing tariffs, during a period of apparent deadlock in negotiations. Trump’s message on his Truth Social platform followed a statement from US Treasury Secretary Scott Bessent, who mentioned that trade discussions with China were “a bit stalled” in an interview with Fox News. This month, the two largest economies had mutually agreed to taper significantly high tariffs they imposed on each other for 90 days, following discussions among high-level officials in Geneva. However, Trump remarked today: “China, perhaps not unexpectedly, HAS COMPLETELY VIOLATED ITS AGREEMENT WITH US,” without elaborating further. In response to the post on CNBC, US Trade Representative Jamieson Greer criticized Beijing for continuing to “slow down and choke off crucial minerals.” He also noted the ongoing substantial trade deficit with China and pointed out the absence of significant changes in Beijing’s conduct. Bessent previously suggested that Trump and his Chinese counterpart Xi Jinping could potentially take an interest in resolving the matter. He indicated that a call between the two leaders might occur eventually. Since returning to the presidency in January, Trump has implemented sweeping tariffs on most US trading partners, with particularly high rates on imports from China. New reciprocal levies from both nations reached triple digits prior to the earlier de-escalation this month, where Washington agreed to temporarily reduce additional tariffs on Chinese imports from 145% to 30%. Conversely, China decreased its extra duties from 125% to 10%. The level of US tariffs remains higher, additionally comprising a 20% levy recently imposed by the Trump administration on Chinese goods over the country’s alleged involvement in the illicit drug trade—an issue that has faced pushback from Beijing. The elevated tariff levels, while still enforced, have caused significant disruptions in trade between both nations, leading businesses to pause shipments in hopes that both governments would reach an accord to lessen the tariffs. Trump’s tariff strategies are also encountering legal hurdles. A trade court ruled this week that the president exceeded his authority by utilizing emergency economic powers to justify the broad tariffs. This ruling blocked the most comprehensive duties since Trump re-assumed the presidency, although it has been temporarily stayed pending the appeals process. Nevertheless, the ruling upheld tariffs specifically imposed by the Trump administration on certain imports, such as steel and vehicles.
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