Tariffs or "extremely low"! Portuguese Finance Minister optimistic: tax rate of US-EU negotiations may be lower than 10%

Portuguese Finance Minister Joaquim Miranda Sarmento stated that he believes the EU and the US can reach an agreement with tariffs lower than 10%, which would help maintain normal trade. Sarmento said: "It is possible to reach an agreement with extremely low tariffs, which may be beneficial to both parties and continue our trade, adding value to our people. We look forward to the latest developments in the negotiations between the EU and the US government at the EU finance ministers' meeting held on Monday and Tuesday." When asked how low these tariffs could be reduced, he later stated: "Possibly lower than 10%, but let's see what the final result will be." The EU must reach a trade agreement with US President Trump by July 9, otherwise tariffs on most exports from the US to the EU will rise to 50%. Trump has implemented tariff measures on almost all of its trading partners, stating that this is to restore domestic manufacturing, fund the extension of tax cuts, and prevent other countries from taking advantage of the US. Sarmento said: "If the terms of the agreement are disadvantageous to the EU, then there will be no agreement. If an agreement cannot be reached by Wednesday, a new deadline may be set. If ultimately an agreement cannot be reached, Europe should not retaliate fully, but should take selective actions to protect the European economy and consumers." Sarmento added that Portugal will support Eurogroup President Paschal Donohoe's request for re-election as chairman of the Eurogroup meeting. Sarmento also stated that the government is still assessing whether to appoint a new governor for the Bank of Portugal or reappoint Mario Centeno (whose term leading the bank will end this month). Furthermore, the minister stated that the Portuguese government will announce the start of the privatization process of the state-owned airline TAP SA in the coming weeks. He reiterated that Portugal plans to sell less than 50% of the airline's shares. Several of Europe's largest full-service airlines, including Air France-KLM Group, Lufthansa Group, and the parent company of British Airways, IAG SA, have expressed interest in TAP SA. Portugal's flagship airline's biggest advantage is that it is the airline in Europe that provides the most services to Brazil. TAP SA also has a strong presence in Africa and operates multiple flights to North America. Earlier this year, a plan to privatize TAP SA was delayed after a center-right minority government was overturned in a confidence vote in Parliament in March. Portugal held early elections in May, with the ruling coalition winning the election and gaining more seats in Parliament, but still without an absolute majority.