06:54 AM EDT, 05/23/2025 (MT Newswires) -- US trade negotiators are threatening not to progress talks to avoid an additional 20% of duties if the EU does not make unilateral tariff reductions on US goods, the Financial Times reported Friday, citing unnamed people familiar with the matter.

The US levied a 20% "reciprocal" tariff on most EU goods in April but halved it until July 8 to allow time for talks. However, President Donald Trump is not satisfied that the EU only offered mutual tariff reductions rather than proposing to lower duties alone like some other trade partners of the US.

A recent explanatory note shared by Brussels for the talks does not meet US expectations and they are not optimistic about reaching any deal that avoids US levies on European imports, according to the report.

Meanwhile, the EU wants a jointly agreed framework text for the discussions but the two sides remain too far apart, the sources told FT.

The US has reportedly sent the EU its standard terms for a deal, which includes making investment in the EU easier for US companies, decreasing regulation and accepting US food and product standards.

US trade representative Jamieson Greer and his EU counterpart Maros Sefcovic are expected to meet in Paris next month, the report said.

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