Tariffs: “Negotiations are not closed – and will continue,” says Paulo Rangel

"The negotiation of the European Union's trade relations with third countries, in this case with the United States, is the exclusive responsibility of the European Commission. It is crucial to understand that negotiations will continue at least until August 1st. Until that date, a final framework will not yet exist," said Foreign Minister Paulo Rangel in São Tomé and Príncipe, where he is accompanying the President of the Republic.

"There is no doubt that this intention presented by the US president arose"—"which would have a disruptive effect on the trade relationship between the two sides of the Atlantic. It would have quite negative effects, primarily on consumers, on producers, and on the economy and trade on both sides."

"What the government did, even before this letter was published, was to contact the European Commission and President von der Leyen. The Union supports free trade and a free relationship with the US, so we will continue the negotiation process that has been undertaken thus far and hope for a positive outcome," the minister stated.

He also said that "the impact of tariffs is not easy to anticipate in all its repercussions." "The negotiations are not just about tariffs, but also about so-called non-tariff barriers—rules and regulations that can hinder trade despite not entailing any taxes, tariffs, or customs duties."

For Paulo Rangel, "The impact will likely be asymmetrical: for some countries there will be a certain impact, for others there will be another." He emphasized that "no option is excluded. That is, it is not excluded that, in the face of an escalation like the one announced, there will be a reciprocal response. All of that is on the table. We believe a good solution is possible by August 1st. This news comes somewhat at odds with the current tone of the negotiations; we will wait without ruling out any options and always in conjunction with the European Union."

Marcelo Rebelo de Sousa emphasized that "the Prime Minister has already contacted the European Union. The negotiation process must continue, in the hope that a solution can be found that is in everyone's interest and that adheres to the logic that was being negotiated and that there is no deviation from what was on the table. A very calm reaction from the European Commission is needed. Portugal must be calm and considerate, with its own interests, those of Europe, and the international community in mind."