U.S. and EU scramble to strike a trade deal ahead of Aug. 1 deadline

The Trump administration and the European Union are racing to clinch a trade deal by the White House's self-imposed Aug. 1 deadline, with economists warning that a sharp hike in tariffs could raise costs for consumers and businesses. 

As the clock ticks down, a series of pacts with other U.S. trading partners in recent days have raised hopes of avoiding a potentially damaging trade war with Europe, with experts saying a deal with Japan announced on Tuesday could serve as a template for a deal with the EU.

The U.S. has also recently announced the outlines of trade deals with China, Indonesia, the Philippines and U.K., though with many details still remaining to be finalized.