Strategist: The EU will have to accept a 10% tariff

ChainCatcher news, according to BCA RESEARCH's Chief Strategist for Europe, Mathieu Savary, Trump's strategy is to make outrageous demands, then let those demands fall through, and then make another effort to win some last-minute concessions before reaching a trade agreement.

"We remember a framework from Trump's first term as president, and that is what is happening now. It doesn't matter what is said now; what matters is where we will land. The EU is expected to ultimately 'have to accept a 10% tariff, but this is something the EU can actually cope with.'"

Previously, President Trump announced a 30% tariff on EU goods starting August 1. Three EU officials stated that Trump's threat of a 30% tariff on EU goods starting August 1 is a negotiation tactic.