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Following a “very nice call” with US President Donald Trump, European Commission President Ursula von der Leyen successfully secured a delay in the threatened 50-percent tariffs on the European Union. Trump announced on Sunday that he would postpone the tariffs until July 9, after initially threatening to impose them starting June 1. The EU had requested more time to negotiate, as talks over a 20-percent “reciprocal” tariff had made little progress.
Von der Leyen "just called me... and she asked for an extension on the June 1st date and she said she wants to get down to serious negotiation", Trump told reporters before boarding Air Force One in Morristown, New Jersey.
"And I agreed to do that," he added. Von der Leyen had earlier said on X that she held a "good call" with Trump but that "to reach a good deal, we would need the time until July 9".
"Europe is ready to advance talks swiftly and decisively," said the head of the European Commission, which conducts trade policy for the 27-nation EU.
European stock markets -- which had tumbled on Friday after Trump threatened the 50-percent tariff -- rallied on Monday as investors welcomed the delay. The Paris CAC 40 index rose 1.1 percent in morning deals while the Frankfurt DAX was up 1.6 percent. London and Wall Street were closed for holidays.
Trump's trade policies have raised concerns that they could spark a recession and fuel inflation, while his stop-start tariff announcements have sent stock markets on a roller-coaster ride.
Brussels and Washington have been negotiating in a bid to avert an all-out transatlantic trade war and had agreed to suspend tariff action on both sides until July. But Trump's threat on Friday dramatically raised the stakes. The US leader said on Friday he was "not looking for a deal" with the EU, repeating his oft-stated view that the bloc was created to "take advantage" of the United States. The US president originally imposed a 20-percent levy on the EU but subsequently suspended it, giving space for negotiations.
Brussels has announced plans to impose tariffs on US goods worth nearly 100 billion euros ($113 billion) if negotiations fail to produce a deal.
