Brussels Races the Clock: Europe’s Last-Minute Bid to Lock In a US Trade Deal

trade-wars
The EU is racing to lock in a ‘rules and stability’ pact with the US by July, trading regulatory alignment for insulation against future tariff shocks.
Published

May 6, 2026

The EU is accelerating negotiations toward a “rules and stability” pact with the US, aiming to close a deal by July that leans on regulatory alignment in digital, green and industrial policy rather than traditional tariff cuts. The goal is to insulate transatlantic commerce — worth around €1.2 trillion a year and supporting roughly 15 million jobs — from future tariff shocks, with steel and aluminium arrangements a particular point of vulnerability as they near expiration. Success would effectively let the EU and US set de facto global trade standards; failure would leave the UK, whose own US trade talks remain stalled, at a competitive disadvantage.

Originally published on Substack, May 6, 2026.

Read the full piece →