The EU and the U.S. are reportedly nearing a trade agreement that would impose a 15% tariff on most imports, including potentially cars and pharmaceuticals, Bloomberg News reported, citing diplomats. The proposed rate mirrors a similar deal the U.S. reached with Japan.

While EU Commission officials briefed member states on the negotiations, any final decision would rest with U.S. President Donald Trump. The 15% tariff would not be added to existing U.S. duties, which average just under 5%. Certain sectors, such as the aircraft, lumber, certain medicines, and agricultural goods, may be exempt.

At the same time, the EU is preparing a counter-tariff package targeting EUR 93 billion worth of U.S. goods, with a vote expected from its members on Thursday. Any measures would take effect no earlier than August 7. Separately, Trump said the U.S. was in serious trade talks with the EU and would lower tariffs if the bloc opened up to American businesses.

Source: Trading Economics