US President Donald Trump has agreed to extend negotiations with the European Union over proposed trade tariffs, pushing back a threatened 50% levy on EU goods until 9 July. The move follows a Sunday phone call with European Commission President Ursula von der Leyen, who requested more time to secure a deal.
Trump had previously announced a 20% tariff on most EU goods, later reducing it to 10% for a 90-day window ending 8 July. On Friday, he escalated tensions by threatening to raise tariffs to 50% from 1 June, citing frustration with stalled talks. However, after Sunday’s call, Trump posted on Truth Social that it was his “privilege” to grant an extension, adding that von der Leyen promised swift progress.
Von der Leyen said the EU was ready to move “swiftly and decisively” toward a deal but needed until July 9 to finalise terms. The bloc remains one of the US’s largest trading partners, exporting over US$600bn in goods last year.
EU trade commissioner Maroš Šefcovic reaffirmed the EU’s commitment to a fair agreement, saying “EU-US trade must be guided by mutual respect, not threats.” European leaders have warned that escalating tariffs would harm both economies, with retaliatory measures still on hold but under consideration.
Key friction points in the negotiations include automotive and agricultural trade, as well as existing US tariffs on EU steel and aluminium.
While the delay provides breathing room, the risk of a major escalation remains if talks falter before the new deadline.
