Under the framework deal struck by European Commission president Ursula von der Leyen and Trump at his Turnberry golf resort on Sunday, the EU has swallowed a broad-based “baseline” US tariff of 15 per cent, including crucially for cars, but not for steel, which will be subject to a quota system.

The EU plans to impose 30% tariffs on €100 billion of U.S. goods as retaliation if no trade deal is reached by Aug. 1, heightening uncertainty.