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France’s Industry and Energy Minister Marc Ferracci has rejected the prospect of a 10% tariff on European exports to the US, calling it a “bad deal” and signaling opposition to a potential agreement with Washington. The European Union has a July 9 deadline to reach a trade deal with Donald Trump before sweeping tariffs on nearly all EU exports to the US jump to 50%. Meanwhile, reports suggested that some bloc members were willing to accept a 10% tariff on most of the bloc’s goods but at lower rates in some areas. At an interview at the Rencontres Economiques conference in Aix-en-Provence, Ferracci explained that 10% is unfair. To solve the issue, he called on the parties to unite and get back to square one by dialogue with the US and its government. According to the French industry minister, they must remain united, be strong in their response, and truly consider how the tariffs affect value chains to reach this goal. The EU is seeking cutbacks from the US on key sectors, including pharmaceuticals, alcohol, semiconductors, and commercial aircraft, to less than the common 10% tariff. According to reliable sources, Brussels is also urging the US to put quotas and other exemptions in place to reduce Washington’s 25% tariff on motor vehicles and car parts and its 50% tariff on steel and aluminum. The French minister cited the aeronautics industry as an example of where value chains exist, are highly integrated, and have no tariffs. He emphasized that a 10% tariff on this industry would be a disaster. The US president has hit most of its trading partners with tariffs , stating that he aimed to revive manufacturing in the country, pay for an extension of a tax cut, and end other countries’ exploitation of the US. The European Commission, which negotiates trade matters on behalf of the EU, sees the trade deal as benefiting the US a bit more. However, it is still something they could accept, said people who wished to remain anonymous, as the discussion was sensitive. On the other hand, a commission spokesman declined to comment on the state of the negotiations. The spokesman, however, confirmed that a team was in Washington to negotiate , and Maros Sefcovic, a European Commissioner for Trade and Economic Security, would join them next week. The European Commission is fully committed to negotiations and prefers a solution that benefits both sides. The spokesperson added that they would consider all available options if they could not find a satisfactory result. Stephen Miran, a United States Chairman of the Council of Economic Advisers, commented on the situation. Miran expressed optimism about reaching a trade agreement with the EU because there is “real political will” to achieve it. Vincent Juvyns, chief investment strategist at ING in Brussels, also noted that investors believe things look more positive than negative. The EU and the US have been trading for a long time. In 2024, the EU shipped 52.8 billion euros, equivalent to $62.2 billion worth of cars and car parts, to the US, the group’s biggest export market, according to the EU and analysts at ING Groep NV. Additionally, with Germany, Italy, and France leading the pack, the bloc exported €24 billion of steel and aluminum to the US, according to analysis from the Vienna Institute for International Economic Studies Following their trade involvement, the EU and the US are growing more optimistic that an interim deal is possible by July 9 to extend the talks. Sources say that the potential deal is that any agreement would address tariff and non-tariff barriers, as well as purchases of major American goods, and detail other areas where cooperation may be needed. The bloc still believes that an agreement in principle is the best-case scenario, but officials have been unable to explain how long any such interim accords would remain in place as talks go on. Your crypto news deserves attention - KEY Difference Wire puts you on 250+ top sites

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