(Adnkronos) – Italy has reacted with caution to a report in Britain’s Financial Times newspaper that the European Union and the United States are close to a trade accord that would impose 15% tariffs on European imports, heading off the threat of 30% duties by 1 August.
“A flat 15% tariff was one of the Americans’ proposals but the negotiations with the US are still open,” foreign minister Antonio Tajani told the private TV channel Rete 4’s ‘4 di Sera News’ programme on Wednesday evening.
Tajani said he was concerned that the euro was trading at such a high rate against the dollar, warning the current exchange-rate was “damaging”.
“I’m also concerned about the value of the dollar-euro exchange rate. A 1.16 exchange rate is damaging. The euro is too strong against the dollar,” he said.
Tajani urged “strong action” from the European Central Bank to cut interest rates further and start the process of buying and selling government bonds – known as quantitative easing – to weaken the euro against the dollar.
Under the imminent deal US-EU tariffs deal, Brussels could agree to so-called reciprocal levies, the Financial Times reported citing “three people familiar with the situation”.
Both sides would waive tariffs on some products, including aircraft, spirits and medical devices according to the Financial Times sources.
Other media outlets including Reuters, which cited diplomatic sources, also reported Wednesday that EU and US negotiators were close to striking a deal on a reciprocal flat 15 percent tariff on European imports, similar to one reached by US president Donald Trump with Japan this week.
