Europe and America Prepare for Trade Negotiations, Trump Commends "Positive Progress"

The EU-US Tariff Negotiations: Reuters reported that citing two sources with knowledge of the matter, as the EU prepares to advance trade negotiations with the US, EU officials have requested major local companies to provide specific information on investment plans in the US; Trump said on Tuesday that the EU's readiness to initiate negotiations was a "positive development," and he hoped Europe would be "open" to US trade, but he reiterated that if negotiations fail to reach an agreement, the US will set its own trade terms.

Reuters reported that Trump wrote on his social platform on Tuesday: "I have just learned that the EU has called to request a prompt arrangement of meeting dates. This is a positive development, and I hope they, eventually, can open their national markets like what I required China to do and engage in real trade with the United States."

In the past weekend, after a "very pleasant conversation" with European Commission President von der Leyen, Trump withdrew his original plan to impose a 50% tariff increase on EU goods starting June 1.

This shift boosted global stock markets, and on Tuesday, US stock indexes rebounded, with the S&P 500 index rising by 2%, marking its largest single-day gain in two weeks.

The EU Collects Data on Investments in the US for Negotiations

The European Commission, which oversees the EU’s trade policy for the 27 member states, is currently stepping up efforts to reach an agreement with the US to eliminate existing tariffs or at least prevent further increases.

Before formal negotiations, a source familiar with the matter said that the European Confederation of Industry (BusinessEurope), which represents 42 industry associations across Europe, received a questionnaire from the European Commission on Monday, requesting timely information on investment plans in the US.

Another source said that the 59 members of the European Round Table for Industry also received a similar survey, asking for investment plans over the next five years. The request was reportedly made by von der Leyen herself.

The members of this round table include CEOs of companies such as ASML, the European chip equipment manufacturer, BASF, the chemical giant, SAP, the software company, as well as BMW and Mercedes-Benz, among others.

The BusinessEurope members cover industries such as the German automotive sector, aerospace, pharmaceuticals, and more. The organization confirmed receiving a request from the EU side to assist in collecting the latest data on investments in the US to demonstrate the importance of economic ties between the EU and the US.

The EU had proposed bilateral elimination of industrial tariffs and increasing imports of US soybeans, weapons, liquefied natural gas, and other items as negotiation chips. Trump clearly stated that the core goal of tariff policies is to promote the reindustrialization of the US, and investments by European companies in the US can be considered part of it.

Currently, the pharmaceutical industry stands out most prominently in investment commitments to the US. Swiss pharmaceutical companies Roche and Novartis separately committed to investments of $50 billion and $23 billion respectively; French Sanofi also plans to invest at least $20 billion by 2030.

Original Source: https://www.toutiao.com/article/1833317931992137/

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