The United States has proposed a trade agreement to the European Union that would maintain a 10% baseline tariff on all EU goods, with exceptions for sensitive sectors such as aircraft and spirits, according to EU diplomats and officials. The EU is reportedly seeking tariff exemptions for these sectors as part of the negotiations. Additionally, the EU is exploring a potential deal to balance automotive trade by offsetting U.S. car exports with corresponding imports. Within the context of the trade discussions, the EU plans to protect Airbus, the European aerospace manufacturer, while Italian luxury carmaker Ferrari is expected to face disadvantages. German officials have indicated readiness to implement countermeasures in response to the tariff proposals. This development appears to avoid the imposition of harsher tariff rates previously threatened by the U.S. administration.