European Union trade relations with the United States are entering what the EU trade commissioner described as a "transitional period" lasting a few months, following Washington's imposition of a temporary import surcharge that could undermine last year's bilateral trade deal.
Speaking at a hearing of the European Parliament, Maros Sefcovic said he has been in contact with his U.S. counterparts - Trade Representative Jamieson Greer and Commerce Secretary Howard Lutnick - who reassured him they remain committed to the agreement reached last year. He added that both sides are working daily to address the consequences of a recent court ruling that paved the way for the surcharge.
Sefcovic outlined the timeline facing negotiators, noting the U.S. measure could remain in effect for as long as 150 days, which would set a July 24 deadline to reach a solution. He reported that the U.S. officials he spoke with believe a resolution could arrive more quickly, perhaps within three to four months.
The United States introduced a temporary 10% surcharge on goods not covered by exemptions after the Supreme Court struck down the administration's global tariffs. President Donald Trump has said he would raise that rate to 15%.
Against that backdrop, Sefcovic urged the European Parliament's trade committee to move ahead with a postponed vote on removing certain EU import duties, proposing that the committee reconvene in March. He acknowledged the vote would not be the final step: if approved, the committee's text would still require negotiation between lawmakers and EU member governments to agree a common version before the full EU assembly could cast a final vote.
Lawmakers have expressed concern that the July agreement with the United States was unbalanced, although many appeared prepared to accept it under conditions such as an 18-month sunset clause. They have also criticized a separate U.S. tariff introduced in August which applies a 50% duty related to the steel and aluminium content of more than 400 products, including wind turbines and motorcycles, arguing that it weakens the spirit of the EU-U.S. deal made in July.
Sefcovic said he received assurances from U.S. colleagues that they understand the severity of the issue for the EU and are examining the situation, adding that he hoped to have improved news soon.
The trade accord between the two sides set a 15% U.S. tariff rate for most EU goods in exchange for the EU removing import duties on many U.S. products. If the recent U.S. surcharge takes precedence over that pact, certain EU zero-tariff exemptions could be lost. Additionally, the temporary surcharge might be layered on top of existing most-favoured-nation U.S. duties - a combination that the bilateral deal was intended to avoid.
As an example of the potential cumulative effect, Sefcovic noted that for some cheeses the 10% surcharge could push the overall tariff to roughly 25% if existing U.S. duties are applied in addition to the new surcharge.
Context and next steps
The immediate period ahead will involve daily discussions between Brussels and Washington as both sides seek to clarify how the recent court ruling will be implemented and whether a practical workaround can be found within the 150-day window. Parliament's procedural timetable on removing EU import duties is a parallel track that could influence the scope of concessions available in ongoing conversations.