Sources say that the US tariff negotiations are boosted by the addition of an assistant to EU chief to the team.
Three sources familiar with these talks have confirmed that the European Union has reshuffled its team in the trade negotiations with the Trump Administration, adding a close adviser to European Commission President Ursula von der Leyen in order to address more quickly any political issues that may arise from the technical discussions.
This move comes after frequent outbursts by U.S. president Donald Trump about what he perceives to be slow progress in negotiations with the EU. He recommended in late May that a 50% tariff would be applied to most European goods starting in June. However, he later backed down.
The EU's decision to give more power to its team in terms of political decisions reflects the challenges the bloc faces as it negotiates with the U.S. President who has repeatedly said that the EU was created to screw over the United States.
This also shows the difficulty of negotiating trade terms alone, when Trump wants to include non-tariff barriers like digital service taxes and food standards in the discussions.
One source said: "If you're a trade negotiator, you want to make sure that you have the full support of top-level politicians. You feel stronger if they are there."
The expanded team, including a von der Leyen assistant and a member of the cabinet of Trade Commissioner Maros SEFCIOC, was sent to Washington last week following a phone call between Trump, von der Leyen, in which both agreed to speed up negotiations.
After that phone call, Trump agreed to give more time to the talks between Washington and 27-nation group to reach a deal before July 9.
The second source said that the expansion of the team was due to a merging of layers of the Commission in order to act quickly and reinforce. She added that the team could still change shape as long as the talks continue.
Jamieson Greer, U.S. trade representative, said that the meeting with Sefcovic on Wednesday in Paris had been productive and he was happy to see negotiations moving quickly. He said that the EU was "willing to work with us" to find a way to reciprocate trade.
Sefcovic informed reporters that the two sides agreed that talks "advance in the right direction and at a pace" and that high level contacts will follow soon. Greer and he had agreed on how to "restructure the focus" of the negotiations with the United States.
One source said that Washington focused its negotiation with other countries on four main areas: tariffs and non-tariff barriers; purchases, and economic security.
Trump has already imposed a 50% tariff in Europe on steel and aluminum, as well as an increased levy on auto imports. The EU is in a rush to reach a deal by July 9, when "reciprocal tariffs" on other goods may increase from 10% to 50%.
The EU, unlike Britain, which was the first major economy in the world to sign a trade agreement that was narrow with the Trump administration's policies, is pushing for an all-encompassing deal with a tariff rate of 10% or less.
Two of the sources stated that additional technical expertise was also added to the negotiation team. However, the leadership had not changed.
The first source stated, "I believe it is in everyone's best interest to have political cover." (Reporting and editing by Richard Lough; William Maclean, Richard Lough)
(source: Reuters)
