The US and EU said on Thursday that they would possibly reach a trade deal at the end of 2020. Though initiation talks are yet to start, the high-level representatives believed that it is possible.
Discussing at the World Economic Forum in Switzerland, both parties were sure that they would be able to wrap up a deal through parallel operations and a set of monthly discussions.
If that happened, the deal would mark a considerably great achievement. This is so for most trade deals take years for the settlement and finalization.
The US-EU trade deal will believably be contributory to the currently rising tension of US-EU trade relationships. Accordingly, the condition is the result of Trump’s disappointment of EU’s unfair treatment towards aviation industry competition between the two regions.
Since then, both regions decide to impose or plan to impose tariffs on each other’s commodity. This includes French cheese and wine, as well as Google and Facebook services.
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Another Deal Alongside US-EU Trade Deal
During the meeting at the World Economic Forum, there is another party working on trade deal. This was the UK, specifically the post-Brexit Britain.
Based on the schedule, the UK will leave the EU on January 31. Therefore, post-Brexit UK will have to establish a novel trade deal with the EU, and the US as well.
US Commerce Secretary Wilbur Ross argued that a deal with the UK should not be too difficult. This is due to more economic similarities than with the EU.
“Both are very heavily services-oriented and within services, such as financial services there’s already a pretty high degree of integration and coordination, so it should be much easier mechanically,” he stated.
As for the deal with EU, the UK will need time to make adjustments. They will cover something fundamentals likewise regulations and policies.
“As we leave there is bound to be change but we have also been clear that there is no point in leaving the EU but sticking with all its rules and regulations forever,” UK Treasury Secretary Sajid Javid said.
Also Read: US-China Signed Phase One Trade Deal
