Key insights
- The EU is pushing the US to reinstate tariffs from a previous trade deal, while also expressing concern over potential increases in US tariffs on EU automobiles. This trade tension introduces uncertainty, posing a slight downside risk for US equities, particularly in the automotive sector, as potential trade wars can disrupt supply chains and increase costs.
BRUSSELS, May 5 (Reuters) - The European Union’s trade chief has urged the United States to swiftly restore the tariffs agreed in last year’s EU-US trade deal, the European Commission said on Tuesday.
The Commission added that it would be beneficial if the main terms of that deal were in place ahead of its one-year anniversary in July.
Maros Sefcovic met U.S Trade Representative Jamieson Greer in Paris on Tuesday, with U.S. President Donald Trump’s threat to increase tariffs on EU cars and trucks to 25% among the EU’s main concerns.