EU, South Korea seek US trade deals to soften the blow from looming tariffs

The European Union (EU) and South Korea said on Monday they were working on trade deals with US President Donald Trump that would soften the blow from looming tariffs as Washington threatens to impose hefty duties from August 1.

- Reuters

Trump stepped up his trade war on Saturday, saying he would impose a 30% tariff on most imports from the EU and Mexico from next month, adding to similar warnings for other countries including Asian economic powerhouses Japan and South Korea.

White House Economic Adviser Kevin Hassett said on Sunday that countries' trade deal offers so far have not satisfied Trump and “the tariffs are real” without improvements to their proposals.

“The president thinks that deals need to be better,” Hassett told ABC’s This Week programme. “And to basically put a line in the sand, he sent these letters out to folks, and we'll see how it works out.”

European Trade Commissioner Maros Sefcovic expressed optimism that Washington and the EU were approaching a positive outcome for both sides.