Overview

• The European Commission has offered to accept a flat 10% duty on all U.S. imports while seeking strategic sector exemptions to limit damage to key industries
• Trade Commissioner Maroš Šefčovič and Treasury Secretary Scott Bessent will lead negotiators through the weekend under President Trump’s authority over the final decision
• Germany’s focus on autos, France’s push for agri-food safeguards and Italy’s demand for pharmaceutical exclusions are straining Brussels’ unity
• Major European multinationals including Mercedes, BMW and LVMH have held back-channel meetings with U.S. officials to press for rapid carve-outs and soften retaliatory lists
• If no principle-level agreement is reached by the July 9 deadline, Washington could impose 50% tariffs on European exports and the EU stands ready to retaliate on €95 billion of U.S. goods