EU to Protect Airbus in US Trade Deal as Ferrari to Lose Out

As the European Union nears a trade deal with the US, its negotiators are focusing on protecting key industries from massive tariffs set to hit the bloc’s exports as soon as Aug. 1.

The European Commission, which handles trade matters for the EU, is closing in on a preliminary agreement that would exempt commercial aircraft from some tariffs in a potential boost to Airbus SE, according to people familiar with the matter. It would also create carve outs for some — mostly German — carmakers, giving relief to companies such as BMW AG and Mercedes-Benz Group AG.