EU weighs concessions to US to avoid trade war – Reuters
Photo: US President Donald Trump (Getty Images)
The European Union is exploring ways to ease US gas exports while complying with its methane emissions rules, in an effort to smooth trade talks with Washington, Reuters reports.
Sources told the agency that, as part of ongoing trade discussions with the United States, the European Commission is considering using flexibility in applying EU methane regulations.
Starting this year, the EU requires oil and gas importers to track and report methane emissions associated with their imports. Methane is a potent greenhouse gas and the second-largest contributor to climate change after carbon dioxide.
According to a proposal by the Commission, additional technical rules may be introduced that would allow US gas exporters to formally comply with EU emissions standards. However, the sources did not specify how this would be achieved.
Reuters also notes that this move could be complicated by President Donald Trump’s plan to abolish existing US regulations that require gas producers to report their methane emissions, making it harder for the EU to justify letting US firms automatically meet requirements.
Trump's tariffs
On April 2, US President Donald Trump imposed new tariffs on imports from more than 180 countries. Depending on the country and product category, the rates range from 10% to 54%.
On April 7, Trump introduced an additional 20% tariff on goods imported from the European Union.
In response, the EU approved retaliatory tariffs on US goods worth around €21 billion. These were in response to Trump's 25% tariffs on EU steel and aluminum exports.
Later, Trump suspended the additional tariffs for 90 days for over 75 countries that requested negotiations with the US. During this period, a flat 10% tariff applies to those countries.
Following this move, the EU also paused its 25% retaliatory tariffs on US steel and automotive products for 90 days.
EU sees Trump's tariff pause as a chance to push its LNG proposal again. Officially, Brussels has already stated that it wants to increase the consumption of American fuel.
Currently, the EU is working on a list of conditions for a potential agreement with the US, outlining areas for negotiations, including lowering tariffs, boosting mutual investments, and softening certain regulations and standards.
The bloc has also dispatched a negotiator to Washington in hopes of reaching a deal on tariffs.
Recently, media outlets reported that the EU is preparing to offer to buy more US gas, hoping this move will persuade Trump to abandon plans for additional import tariffs.
