According to the Financial Times, the European Union and the United States are close to reaching a trade agreement that would set tariffs at 15% on European imports, in a bid to avert President Trump’s threat to raise them to 30% starting August 1st, based on information from three well-informed sources.

The agreement is expected to include reciprocal levies and follows a structure similar to the recent bilateral deal Trump signed with Japan earlier this week.

As part of the negotiations, mutual removal of tariffs is anticipated for certain products such as aircraft, alcoholic beverages, and medical technology equipment, the sources noted.

The European Commission, which is responsible for the EU’s trade policy, briefed member state representatives on Wednesday after talks with U.S. officials.

Since April, European exporters have been facing an additional 10% duty when exporting to the U.S., on top of the existing average tariffs of around 4.8%.

Sources clarified that the total 15% would include the existing duties, which for Brussels is effectively a preservation of the status quo. Notably, for automobiles—currently facing tariffs as high as 27.5%—the new agreement would mark a significant reduction down to 15%.

However, Brussels is still preparing a countermeasure package worth up to €93 billion, with retaliatory tariffs potentially reaching 30%, if a deal is not reached by August 1st.

A U.S. official, speaking anonymously, emphasized that the situation remains “fluid and subject to change.”