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'We are ready to discuss digital rules with the US but cannot wipe out rules,' EU trade chief says

After months of pressure from the US, EU Trade Commissioner Maroš Šefčovič told Euronews that Brussels has agreed to open a “digital dialogue” with Washington. Still, US tariffs on EU steel and aluminium remain.

READ MORE : http://www.euronews.com/2026/04/30/we-are-ready-to-discuss-digital-rules-with-the-us-but-cannot-wipe-out-rules-eu-trade-chief

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00:08Commissioner Madov Cheshkovich, thank you for joining us on Euronews.
00:11Of course, you have the portfolio in this commission trade,
00:15and you just came back from a trip to the United States where you met with the U.S. delegation.
00:20You've announced there's now a deal when it comes to critical minerals with the Trump administration.
00:24But I have to ask, and I know you will disagree, but the concern, the criticism in the past year
00:29is that the deals the EU makes with the U.S. are tilted in the favor of the Trump administration.
00:34Is that fair? And if not, what is Europe going to take out of this?
00:38I think that the best proof that the deal we made is a fair one is actually the fact that
00:44it didn't affect our trade in negative terms, that our exports actually been growing.
00:50And I think that it provided, first, stability, more predictability for our exporters,
00:56and it created that platform, which actually allows to have such high-level visits and meetings
01:01as I had in Washington, and really go directly after the problem when they appear.
01:06And the problems that have appeared, you say this is a deal that works for both,
01:10but there are still pending issues, and you've said you're trying to tackle them forcefully,
01:15and that is when you look at steel and aluminum, steel tariffs at 50%,
01:18that is prohibitive for European companies. The story has been dragging on for months now.
01:23Did you make any progress?
01:25Of course, I mean, we studied carefully, I would say, this change of the measures in the sectors,
01:32and indeed, you're right also from our assessment, this is a mixed bag.
01:37There is a big part of the products which are so-called delisted.
01:40I also have to say that a big part of the administrative burden was removed.
01:47But still, there is quite a lot of products which are now tariffed more than before,
01:52and this is a big issue for our exporters, and I know that I got very clear negative reactions
02:01from the European Parliament. So that's something what we raised with my colleagues.
02:05We also presented our analyses, and we immediately instructed our teams to deal with it more concretely,
02:14and of course, this would be one of the topics which I hope to take up again with Ambassador Greer
02:18when we see each other at the next G7 meeting.
02:21But just specifically in the steel and aluminum, because again, the producers are saying
02:24this story has been dragging on now for months. 50%, and you know this very well,
02:28it's almost prohibitive for anyone in this industry, and they say they're not seeing steps for resolution.
02:34Are you seeing steps for resolutions, or frankly, let's be honest, nothing is practically moving?
02:39As I said, something has moved, because I mean...
02:41What makes you believe that?
02:42I think, I mean, if you look at the latest changes, I would say, to how they treat the derivatives,
02:48so indeed, a big part of the products was delisted, so I mean, they are out of this very high
02:54tariff category.
02:55Then, as I said, administrative burden, which was really excessive, was significantly reduced,
03:01but we still have a problem. That's very clear, and therefore, I put on the table again the idea,
03:07which we kind of arrived at together last year, to create this steel ring,
03:13which I believe is the best solution for both of us, because we do not have a problem with our
03:18mutual steel trade.
03:19We have a problem with the excessive capacity, which is hitting the global markets.
03:23Of China?
03:24I think it's not China only. I mean, it comes from other sources as well, but I just give you
03:30the number.
03:31Next year, we accept 720 million tons of excessive capacity of steel, and European consumption is 140 million.
03:38So it's like, what is it, five times, six times more than we consume in Europe.
03:41So we're going to penalize both ways.
03:42Exactly. I mean, they have a problem with excessive capacities, we have a problem with excessive capacities,
03:47so I do not understand why we should hit each other.
03:50And as we get penalized both ways, you just delivered the numbers on top of the tariff that they have
03:54put on the Europeans.
03:55What is their way forward, however? And I wonder, is this not really making progress at speed,
04:00because it is connected to digital services? They have indicated they do see a relation.
04:05I think that how to make progress in this case, I was explaining in great detail our, let's say, newly
04:14adopted steel safeguard.
04:16The fact that we are reducing imports to the EU by 47 percent, and we have so-called out-of
04:21-quota tariffs also on 50 percent.
04:23So our defensive measures, if it comes to the steel sectors, are very similar.
04:28So it creates a precondition for having, I would say, this steel ring approach, and I hope that we will
04:34make some headway in that regard.
04:36And the U.S., just to close on this chapter, however, they do make a form of amalgamation between the
04:41trade and the digital services
04:43and the taxes and also penalties on U.S. digital companies operating in Europe.
04:47Did you make it clear that there is no connection? Did they once again push you to say they want
04:52to see a watered-down legislation on digital services?
04:55How did this conversation go? Because they do make a link.
04:58I think that from our perspective, it's very clear that if it comes to digital sovereignty, it's for us to
05:06decide.
05:07So you will not give anything?
05:10We cannot give anything what concerns our legislation, but we are ready to talk, to explain, and I think what
05:16we both need is a digital dialogue.
05:20So I'm also discussing with my colleagues who have direct responsibility for this matter, be it Executive Vice President Rivera
05:27or Executive Vice President Virkunen,
05:29because in many aspects, again, we have a very common task.
05:34What do we want and what do we don't want that would appear on the screens for our children?
05:40What kind of content?
05:41Content we are absolutely sure that it shouldn't appear in any computer, and how we want to make sure that
05:48we would have a fair competition among, you know, the operators on the digital market.
05:54So there is a lot of things to discuss, and I think that in the past we had a quite
06:00good experience with Trade and Technological Council,
06:05and I believe that we would need some kind of alternative when we can have these high-level political discussions
06:10on all sectors.
06:11So that's a very interesting point, because the Tech and Trade Council was precisely designed to talk about these topics.
06:16Are you suggesting that the format, perhaps, is no longer fit for the Trump administration?
06:21Maybe a new format could be needed?
06:23That's my, I would say, personal view, because when we've been brainstorming how to, you know, push our relationship forward.
06:30I mean, for us, the joint statement is a platform.
06:33Therefore, I believe that both of us, we have to deliver on our commitments.
06:36And based on this platform, I think we need to have a body where we can have, I would say,
06:44this discussion as between the biggest trading partners and closest allies,
06:49because in many of the areas we have very similar concerns and similar worries, and I think this is what
06:55we would need.
06:55I know that what I heard from the U.S. side was they just want to avoid to have some
07:00kind of formal structure which they would describe as a talking show.
07:04They would like to have a structure which would really lead to the discussion on different levels and could bring
07:11really, I would say, results which would be good for both of us.
07:14So the U.S. is saying that Tech and Trade, they rather prefer direct bilateral talks, not in a very
07:19structural format.
07:20I don't think that we are in that level of discussion yet.
07:24We were just, you know, looking how this could be shared.
07:28But we see that our trade and cooperation is so diverse that clearly you need, you know, the regular discussion
07:38on the irritants which are coming from the both sides,
07:42on the challenges we are at ahead of sight, and also where we can charge the cooperation for the, you
07:47know, for the next period.
07:49And now I want to talk about China, because this week the Chinese Trade Ministry came out with a statement,
07:56guns blazing almost,
07:57saying that some of the proposals that the EU and the Commission have put forward, certainly when it comes to
08:02the European industry and made in Europe,
08:04are targeting China and they are discriminating Chinese companies.
08:08If they do not get addressed their concerns, they threaten now countermeasures.
08:12Are we heading into a trade war with the Chinese?
08:14We are not interested in any trade wars, and I made it clear from the day one, and I engaged
08:20from the day one with our Chinese counterparts.
08:23I was in Beijing, we had a meeting with Vice Prime Minister Halifeng, and I'm in regular contact with my
08:28counterpart, Van Guentao,
08:30and I was passing very consistently the same message.
08:35We cannot have a trade deficit of 1 billion euros a day.
08:39We cannot have a deficit of 360 billion a year.
08:43It's simply unsustainable.
08:44Which is not improving.
08:45It's getting worse.
08:46It's not improving, it's getting worse.
08:47I have, of course, a very strong economic and political reaction stemming from that.
08:53We just have to also completely reform also how our customs unit is operating, because between 2020 and 2026 we
09:01went from 1 to 6 billion parcels coming from China,
09:06with all the results when you really control the content of the parcels which are publicly available.
09:12So what I want is to have a constructive engagement with my Chinese counterparts, how are you going to deal
09:17with this challenge, because I believe that also understand that this is not sustainable.
09:21I think there are very strong industrial policies in China, you have the same in US, in Canada, in Japan,
09:28in Korea.
09:29So nobody, I mean, should be surprised that European Union, especially if it comes to the public money and public
09:34funds, want also to be promoting...
09:38But I wonder, when the Chinese say the EU should not underestimate China's resolve to protect the legitimate interests of
09:45Chinese companies, and it could put forward measures to counteract those same proposals, is that a threat?
09:52I think, clearly, what is very important here is to avoid threats and to have constructive engagement.
10:00Do you like that tone, when they put out a statement like that? Is that acceptable to you, to immediately
10:05go into countermeasures?
10:07I think that, I think we as a, let's say, trade ministers and trade commissioners, we have a huge responsibility
10:15in front of our economic operators.
10:20Therefore, I think what we need is indeed strategic patience, lots of courage to deal with the difficult issues, because
10:27the war is easy to declare, but it's very difficult to stop.
10:31And therefore, I think what we need is to have regular structured talk, also with China.
10:38Therefore, I invited also Chinese foreign ministers to visit Brussels, because I think that we need really to have very
10:44thorough assessment.
10:46What is the current situation and what is the plans for the future?
10:51Because I think that also from their perspective, it's clear that we cannot have this space of growing trade deficit
10:57with China, because that would be simply politically and economically not feasible.
11:01But they don't seem to want to address it, at least not at speed. But I wonder, there is a
11:05pattern now in which every time the European Union tries to put forward measures to become stronger, to revive its
11:11industrial base, to become more sovereign in a very tough global environment.
11:16Immediately, there's a pattern of threats, potential retaliation coming from China. Can you work like this?
11:23I think I would definitely prefer to solve our problems before we are resorting to these measures.
11:32And I would just also invite, as I did, some of our Chinese counterparts to compare our policies to the
11:42policies how they treat European businesses and how they treat the European companies in China.
11:50And that's a very consistent message, which we from the EU are passing over for the years.
11:56So I think that now we are entering, I would say, the level where we really need to adopt the
12:03concrete measures, because today we are in such a fast-pacing world that in one year you can lose the
12:09whole industry.
12:09And therefore, I think that there is a result from the European member states to do much more to protect
12:15the jobs, to protect the businesses, to protect the economic performance in the European Union.
12:19And it's just pretty natural, and you see it in all other countries in the world.
12:23And China clearly is turbocharging its companies through a very aggressive state subsidy policy.
12:27That is a reality, have you considered? Maybe even prepare it to say, if this continues, we are going to
12:33have to weight measures such as the anti-coercion tool.
12:36I think that we never kind of threaten our partners. We definitely don't do it in the media.
12:45We are really discussing the issues on the topic basis, and I believe there is a host of other things
12:53how we can deal with this issue.
12:55Of course, it requires...
12:57But would you say, the way that you said it with regards to the US at the start of the
13:00year, that this was something the EU would not hesitate if its interests are threatened fundamentally to use?
13:05Would you apply that kind of criteria on China too?
13:08I think that, of course, that's very clear. I mean, that we've been, I would say, crystal clear about that,
13:14that we would fight the tooth and nail for every European job, for every European company, for every European sector,
13:21if we see that they are treated unfairly.
13:23That's our job. And therefore, we have the international rules. Therefore, we have very clear provisions how the subsidies should
13:31be offered.
13:32And therefore, our key topics for the reform of WTO was to restore level playing field and to reflect how
13:40the situation in geoeconomics has shifted from 1995 until 2026.
13:49What has changed? What is the political and economic weight of several countries?
13:54And this has to be factored in because we cannot stay the last, the large, super open economy where some
14:00countries are taking advantage of.
14:02You've been all around the world cutting trade deals and the clear mandate for you now is to reach out
14:06to the world and make more deals.
14:08So, well, obviously, I'm a journalist. I would love to know who comes next. But tell us about the pipeline.
14:14Yeah, I think that if you look at, I would say, the overall strategy is actually, I can put it
14:21in a few words.
14:21We want to stabilize our relationship with the US, rebalance our trade with China and open new market access for
14:29our companies throughout the world.
14:30So, we concluded the agreement with India, with Mercosur, with Indonesia, with Australia.
14:36And I hope that all of these deals would enter into force this year.
14:40Tomorrow, we are starting provisionally applying Mercosur.
14:43On India's Iran in progress, any update, the Indians seem to be very keen on getting this done.
14:47Yeah, we want all the deals which we agreed upon to make sure that we would complete our ratification process
14:55this year.
14:56Of course, it's a big discussion in Europe.
14:57And that means before the summer?
14:59No, I think that we would need until the end of the year.
15:02The end of the year.
15:02Because of our linguistic versions, legal scrubbing and all, I would say the procedural steps.
15:07The most important thing is that deals are done.
15:09We just need to make sure that we are not losing any more opportunities because of our legal procedures to
15:15get them officially approved and ratified.
15:17You've been asking what's next.
15:19So, we are progressing very well with Philippines.
15:22So, I hope that this can be done also this year.
15:26And the next year, we have high hopes for making significant progress with Thailand and Malaysia.
15:33So, that would cover, I would say, almost all region of ASEAN.
15:36And, of course, especially after the last week when the GCC country has been invited to the European Council, I
15:44want to use this new political momentum and dynamic to advance with the UAE.
15:49And we are also looking with the GCC if we can relaunch the trade talks with the whole region, which
15:57has been on the table for more than 30 years.
16:00So, the Philippines, you're hoping that this gets done this year?
16:04Yeah. I think that there are all ingredients on the table that we can conclude the negotiation with the Philippines
16:10this year.
16:11That's the goal.
16:12It's very difficult to give you the more precise timetable because it also depends on political events and political availability
16:17of all actors who are involved in these negotiations.
16:21But that's the ideal plan.
16:23When it comes to the GCC, it's clear, and they have been very open about this, that they see momentum
16:28and they want to make this deal too.
16:30However, do you see this as a deal as GCC in full or are you now looking at bilateral deals
16:37among GCC countries because it's going to be easier?
16:40I think that not only us, but also, for example, UAE and I have to say some other countries from
16:48the regions kind of felt…
16:50Like who else?
16:51Yes.
16:51I think what we heard that also Oman and others that if there will be no kind of chance to
17:02kind of revive and bring some, I would say, momentum on the region to region negotiations that they would be
17:09ready to go on bilateral basis.
17:10But the biggest progress so far we have made with UAE.
17:16I mean, we had several rounds of negotiations.
17:19Now we go through the most difficult, difficult chapters, but we've been very clear from the beginning that we do
17:26not see it as a separate deal.
17:28We see it as one of the building blocks of the whole region to region progress.
17:33And we see, especially also these days, that our economy is actually very complementary.
17:37So I think it would be a good deal for both of us, but we have to kind of make
17:43the progress on some of the issues which are difficult.
17:48And they are the reason why the negotiation takes such a long time.
17:52And just lastly, your colleague Sabine Vejant, you put out a statement, well, a tweet in this age where you
17:58said it had been fantastic to work with her and you really paid tribute to the work that she did
18:02with you and for DG Trade.
18:04And in all of these very complex deals, which are fundamentally very difficult to get done.
18:08But, of course, this is Brussels and people like to talk.
18:11And one of the theories going around is that she may have paid a price for being critical about the
18:18U.S.-EU deal, which, of course, she said was not quite a negotiation.
18:22Is there any truth to that?
18:24I think that you describe Brussels very nice, that the people here like to talk.
18:27You know, we go with Sabine Vejant a long way because we've been dealing together.
18:32She was very instrumental in, I would say, getting Brexit done.
18:35So I was and I'm still responsible for this relationship.
18:39So I know how much she did in that regard.
18:42And look at the results.
18:44I mean, we wouldn't achieve such impressive results over the last year and a half if we wouldn't be, I
18:51mean, working extremely well together with the Director General.
18:54So he's a brilliant tactician, excellent tactician.
19:00She has a huge, huge expertise.
19:02And of course, I mean, we are there to make the best possible choices.
19:08So you discuss, you ponder, you look for different options.
19:11But once we agreed upon something, we've been really working together.
19:15And she was very instrumental in all these deals, including in working on the deal with U.S.
19:22And then, of course, on all the implementation, which was which was not easy feet.
19:26So I just really would like to thank her.
19:30And I think the institutions did it because she really provided exemplary and excellent service to the European Union and
19:38to the European services and to the commission.
19:40And there is life after the commission.
19:42Sometimes it seems in Brussels there isn't, but there is a world out there.
19:46So, Commissioner.
19:47Absolutely.
19:47Absolutely.
19:48Well, thank you very much.
19:48And my vibe reminds me of that very often.
19:50I can tell you.
19:51Keep it in mind.
19:52Commissioner, thank you very much.
19:54Thank you very much.
19:54Highly appreciate it.
19:55Thank you for having me.
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