How Italy’s Giorgia Meloni Aims to Revitalize US-EU Trade Talks: What It Means for Global Commerce

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How Italy’s Giorgia Meloni Aims to Revitalize US-EU Trade Talks: What It Means for Global Commerce

Italy’s Prime Minister Giorgia Meloni is set to meet with former President Donald Trump in Washington. This meeting comes after initial EU-US discussions failed to provide clarity on Trump’s demands regarding tariffs. Meloni, known for her conservative nationalist stance, has developed a close relationship with Trump. He has praised her as a “wonderful” and “strong” leader. Rather than urging retaliation against Trump’s trade war, she has called for negotiations to sort out the issues.

Currently, Trump has imposed a 25% tariff on steel and aluminum imports, among others. There’s a temporary 90-day pause on tariffs for certain exports, but if negotiations break down, a 20% “reciprocal tariff” could quickly return. EU trade negotiators are seeking clear demands from the US administration, something they hope Meloni can clarify during her visit.

Before her trip, Meloni told Italian business leaders, “We know we are in a difficult moment,” adding, “We have overcome far greater obstacles.” She doesn’t seem fazed by the pressure of these talks. Meloni supports the EU’s proposal to eliminate all tariffs on industrial goods if the US reciprocates. However, insiders suggest the US is unlikely to back down on its tariff rates.

Stefano Stefanini, a former Italian ambassador to NATO, believes Meloni’s meeting with Trump could provide crucial insights. He suggests Trump may push for Europe to distance itself from China further. “If the EU makes a deal with the US, it will be pushed to cool its ties with China,” he emphasized. Importantly, while the EU has started investigating Chinese companies for unfair practices, their tariffs are much lower than Trump’s hefty rates, which can reach as high as 145%.

In response, China has ramped up its lobbying efforts. President Xi Jinping has urged the EU to resist “unilateral bullying.” Meloni, however, has taken a tough stance on China, previously withdrawing Italy from the Belt and Road Initiative, which highlights her strategy of treating China as a rival.

Though her approach may draw some criticism within the EU, many diplomats support Meloni’s direct talks with Trump. One senator from her party remarked on her courage to engage in what is typically seen as a matter for the Brussels administration.

After all, trade complexities intertwine deeply with national interests. As Meloni prepares for her American counterpart’s discussions, she hopes to stress how US tariffs are impacting Italy. Trump is known to respond to discussions framed in national interest terms rather than abstract ideas like transatlantic solidarity, which he tends to dismiss.

It’s a high-stakes moment for both Meloni and the EU. How this meeting unfolds could significantly shape future trade relationships and global alliances.



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