The European Union offered the United States a zero tariff trade deal with the United States (US) weeks before President Donald Trump announced sweeping tariffs on EU goods, according to EU Trade Commissioner Maroš Šefčovič.
Speaking after talks with U.S. Commerce Secretary Howard Lutnick on February 19, Šefčovič revealed that the EU had proposed eliminating tariffs on cars and a range of industrial goods—including machinery, pharmaceuticals, and rubber products.
While the EU remains open to negotiations, Šefčovič indicated that progress has been slow. “The U.S. sees tariffs not as a tactic, but as a corrective tool,” he said. European Commission President Ursula von der Leyen confirmed that the EU’s zero-for-zero tariff proposal remains on the table.
Trump has consistently criticized the U.S. trade deficit with the EU, particularly targeting European car imports. “They don’t take our cars, they don’t take our food products,” he said over the weekend.
In response, Šefčovič defended the EU’s value-added tax (VAT) system, calling it widely accepted and used in over 160 countries. He said any resolution must be “mutually advantageous.”
Meanwhile, the EU is preparing to respond to Trump’s new 20% tariff on all EU imports, set to take effect on April 15.