The Dow Jones (DJIA) is trading lower on Wednesday following reports that the European Union (EU) is growing uneasy with new trade concessions requested by the U.S.
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The U.S. and EU reached a trade deal in July that would see most EU imports subject to a tariff ceiling of 15%. However, recent demands from the Trump administration have led EU officials to believe that the U.S. may be undercutting its half of the deal, sources told Bloomberg. The sources declined to specify the exact concessions ahead of an EU member state meeting on Wednesday to address the matter.
U.S. and EU Still at Odds Over Tariffs
The U.S. and EU are in the process of implementing the trade deal, although disagreements still exist. For example, the bloc is still trying to lower its 50% tariff rate on steel and aluminum and is concerned that the Trump administration may try to expand the tariff on derivatives of the two metals. In addition, the EU seeks to exempt wine and spirits from the 15% tariff.
“Without stability over four years, it can be difficult to say that this agreement is a good deal,” EU industry commissioner Stephane Sejourne told Bloomberg.
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