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U.S. Links Metals Tariff Relief to EU Tech Rule Changes in Brussels Talks

EU officials reiterate they will not negotiate tech or tax rules.

Overview

  • U.S. Commerce Secretary Howard Lutnick and Trade Representative Jamieson Greer met EU trade ministers in Brussels to press for fuller implementation of the July pact.
  • Under the July agreement, the U.S. set a 15% tariff on many EU goods and the EU pledged to remove many duties on U.S. imports, but EU parliamentary and government approvals may delay enactment until March or April.
  • The U.S. still applies a 50% tariff on steel and aluminium and has extended it to 407 derivative products, a move EU officials say undermines the deal and could expand further.
  • Lutnick said lowering metals tariffs depends on the EU easing digital regulations, a linkage the European Commission rejected as it defended rules like the Digital Services Act and Digital Markets Act.
  • EU negotiators are seeking to broaden the lower-tariff coverage to more products, including wine, spirits, olives and pasta, while both sides also discussed supply-chain security and China’s export controls on critical materials.