TMTPOST -- The European Union ’ s   trade   negotiations   with the United States   could   have to extend beyond President Donald   Trump ’ s July 9   deadline   as the Trump   administration is reportedly forcing the bloc   to make   hard   concessions.

Credit：Xinhua News Agency

The U.S. is demanding   what   EU officials   deem as unbalanced, unilateral concessions   in ongoing   trade   talks, such   as measures   regarding to quotas   for fish exports   that European officials believe may be incompatible with World   Trade Organization rules, tariffs-related   moves   that aren ’ t mutual, a   series of demands on economic security,   which were   described by the   officials   as far-fetched,   Bloomberg   cited people familiar   with the matter.

It was reported that many of U.S. tariffs would   remain   even   in   the event of a deal,   and the best-case scenario   is to   reach an agreement on principles, which would allow   further talks   to extend past the deadline   of July 9, which is when the Trump administration ’ s reciprocal tariffs return to higher levels   from the baseline level 10%.   The reported demands may lead   to EU ’ s   tough decision on   countermeasures   if the terms   of any deal don ’ t improve.

A European Commission spokesperson   declined   to comment on   the report, and stressed   "a   negotiated, mutually beneficial solution"   is still the   EU ’ s preferred outcome.  

Reports last week suggested   the EU   is   exploring   new ways to push for   a deal as   Trump ’ s   July   9   deadline   looms.  

The U.S. and the EU   seem   closer   to a   deal to   address multiple non-tariff   trade issues, the   Wall   Street Journal   reported on Friday, citing a draft agreement on reciprocal trade. The draft was reported   to be   circulated by the   U.S.Trade Representative ’ s office   and touch   a   litany of trade issues,   such as   the EU ’ s Digital Markets Act, its carbon-based border tariffs, shipbuilding, but it doesn ’ t specifically address any of   the tariffs   the Trump has threatened   or imposed on the bloc.

It   is unclear   whether the EU   will   address the tariff issues in a   separate deal, or if both sides   will decide to   extend those   negotiations   beyond   the July 9 tariff   deadline.   A day   prior to the report,   advisor to German Chancellor Friedrich Merz, Michael Clauss, revealed that the European Union is pushing for a Britain-style trade deal with the U.S.   Such a deal leaves some tariffs in place after the   deadline   next   month, further delaying retaliation against Washington.

Clauss, in   a   Financial Times ( FT )   event on Thursday, expected an arrangement "a little   bit along the model   of"the   U.S.-Britain   agreement, rather   than a full   trade agreement.   He said   the European Commission will   want to know if "if there is a landing zone" on the baseline 10% reciprocal tariffs   before   discussing   tariffs on   various   sectors.   He also   said   EU   member states fear   the economic   consequences   and   the risk of   European internal disagreements   on   taking countermeasures.

Some nations, led by France, plan to retaliate in that scenario, but others, including Italy and Hungary, want to keep negotiations going, spooked by Trump ’ s threat to impose 200% tariffs on wine and whiskey when the EU proposed targeting bourbon in April, according to   the FT   report.

European officials   are   increasingly expecting   a 10% rate on   the so-called   reciprocal   tariffs   to be the baseline in   any EU-U.S. trade   deal, Reuters cited sources on Thursday. EU negotiators are said   to still   seek the   tariff rate   lower than 10%, but negotiating   the 10% level down   had become harder since the U.S. started drawing revenues from its global tariffs.    One of the sources said there had been no acceptance by the EU of 10% as the baseline rate at talks, but   suggested it would be difficult   for   the block   to force U.S. to change or abolish that baseline.