The European Union is seeking to clinch the outlines of an accord with the U.S. as soon as next week that would give the bloc access to some benefits included in President Joe Biden’s massive green investment plan.
The two sides will try to reach an in-principle agreement next week, when European Commission President Ursula von der Leyen meets Biden in Washington, on issues including access to critical raw materials, labor and sustainability, according to an EU official familiar with the plans, who spoke on the condition of anonymity.
The purpose of the deal would be to grant the EU equivalent status as an American free-trade partner, which would help make European-made electric vehicles eligible for tax credits available under last year’s Inflation Reduction Act. While the U.S. has free-trade agreements with 20 countries, including neighbors Canada and Mexico, past negotiations with the EU have never produced one.