U.S. trade negotiations with the European Union formed the basis of a “real agreement” between the two parties that will reduce tensions, Treasury Secretary Steven Mnuchin said Thursday.
Mnuchin spoke to CNBC a day after the White House announced it had reached a general agreement with the European Union to work toward zero tariffs and reform the World Trade Organization. President Donald Trump and European Commission President Jean-Claude Juncker held talks Wednesday on disputes between the two parties.
In the wake of those negotiations, Mnuchin said the hoped-for outcome is an elimination of all tariffs ultimately, and in the nearer term no additional tariffs and a removal of duties on steel and aluminum.
“I think we’re well on our way to resolving a lot of these trade issues,” he said.
Markets have been on edge as the U.S. and its trading partners have parried back and forth over the trade issues. The U.S. began the tensions with global tariffs on steel and aluminum and recently instituted $34 billion worth of charges on Chinese imports. In addition, the White House has outlined another $200 billion that it is targeting should negotiations prove fruitless.
