The United States and the European Union have reopened formal trade negotiations to avoid a deepening tariff conflict triggered by President Donald Trump’s sweeping import duties earlier this year. According to a report by the Financial Times, the breakthrough ends a months-long impasse.

In recent days, both sides exchanged negotiation documents for the first time, marking a shift toward constructive engagement. .

EU Urged to Stay Strategic

European Commission trade chief Sabine Weyand advised EU ambassadors to stay calm and resist being rushed into one-sided concessions.

“We must remain composed and avoid playing into the U.S. narrative of quick wins,” Weyand told officials, per an internal EU briefing note obtained by the FT.

She warned that U.S. tariffs on key sectors like autos and steel—industries Trump aims to “reshore”—are unlikely to be lifted in the near term, even as talks resume.

Pressure From Washington

U.S. trade representative Jamieson Greer reportedly played a key role in restarting dialogue by pressing EU diplomats behind closed doors. He warned that without written proposals from Brussels, the U.S. would fully reinstate tariffs on April 2, in line with Trump’s earlier threat.

The Trump administration has previously struck deals with other trade partners—including the UK, Japan, South Korea, and Vietnam—but progress with the EU had stalled due to its hesitancy to formally engage.

What’s at Stake?

The renewed talks are seen as critical to avoiding escalation in a transatlantic trade war, which could disrupt supply chains and add billions in costs to industries already hit by global tensions. While both sides appear committed to dialogue, key differences remain—particularly over Trump’s insistence on industrial reshoring and the EU’s defensive stance on digital trade and regulatory standards.

The coming weeks will reveal whether diplomacy can overcome political pressure on both sides of the Atlantic.

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