Trump and EU's von der Leyen Set to Meet for Trade Deal Talks

European Commission President Ursula von der Leyen is set to meet US President Donald Trump to discuss a trade deal that may involve a 15% baseline tariff on most EU goods, potentially ending uncertainty for EU companies.

US and EU teams are finalizing talks on tariffs for sectors like cars, steel, aluminium, and pharmaceuticals before the meeting at Mr. Trump's golf course in Turnberry, Scotland.

US Trade Representative Jamieson Greer and Commerce Secretary Howard Lutnick are in Scotland, while EU Trade Commissioner Maroš Šefčovič arrived this morning.

EU diplomats have prepared counter-tariffs on $109 billion of US goods if no deal is reached and the US imposes 30% tariffs from August 1.

The potential EU-US trade deal could involve a 15% tariff on EU goods imported into the US, along with a 50% tariff on European steel and aluminium.

The EU and US are major trading partners, accounting for a third of global trade.

Possible exemptions from the baseline tariff may include the aerospace industry and spirits, with expectations of increased LNG purchases from the US by the EU.

Mr. Trump has indicated limited flexibility on the 50% tariffs on steel and aluminium imports.

He expressed a 50-50 chance of reaching a trade pact with the EU and mentioned Brussels' eagerness to make a deal.

Without an agreement, the US could increase tariffs on EU exports, impacting various sectors.

A 15% tariff on most EU goods would provide clarity but might fall short of Europe's desire for a zero-for-zero tariff deal on industrial goods.

For Mr. Trump, a trade deal with the EU would be a significant achievement in his efforts to reshape global trade.