EU to Present New Trade Proposals to US Negotiators Next Week

The European Union is planning to share a paper with the US next week that will set out a package of proposals to kick-start trade negotiations with the Trump administration.

The paper will propose lowering trade and non-tariff barriers, boosting European investments in the US, cooperating on global challenges such as tackling China’s steel overcapacity and purchasing US goods like liquefied natural gas and technologies, according to people familiar with the matter.

The plans could still change as the European Commission, the EU’s executive arm that handles trade matters for the bloc, continues to consult with member states, said the people, who spoke on the condition of anonymity. 

A spokesperson for the commission declined to comment.

The EU is also moving forward with plans to retaliate over the tariffs President Donald Trump has imposed on the bloc should negotiations fail, according to the people. Those plans include more lists of US goods to hit with tariffs as well as possible export restrictions, Bloomberg previously reported.

The EU agreed earlier this month to delay for 90 days the implementation of a set of counter-tariffs against the US over 25% duties Trump imposed on the bloc’s steel and aluminum exports. That move came after the US president lowered his so-called reciprocal rate on most EU exports from 20% to 10% for the same amount of time.

Trump has also imposed a 25% duty on cars as well as some parts. The president has said he will press ahead with plans to target semiconductors and pharmaceutical imports too.

The EU and the US have so far made little progress in talks aimed at defusing the conflict and several government officials told Bloomberg earlier this week they believe that many of the US tariffs are here to stay.

The Trump administration has raised grievances about the trade deficit in goods it has with the EU as well as over several of the bloc’s regulations and standards.

The bloc is also preparing for worst case scenarios that could see the EU and US spar in litigation at the World Trade Organization. It’s also preparing to address any trade diversion that could result from the 145% tariffs Trump placed on many Chinese exports. 

With assistance from Michael Nienaber, Kamil Kowalcze and Jorge Valero.

©2025 Bloomberg L.P.

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