The European Union and the US are progressing toward an agreement that would set a 15% tariff for most imports, according to diplomats briefed on the negotiations.

The European Commission said on Thursday a negotiated trade solution with the United States is within reach - while EU members voted to approve counter-tariffs on 93 billion euros ($109 billion) of U.

Any agreement would likely include a 15 per cent baseline tariff on EU goods entering the US and a 50 per cent levy on European steel and aluminium, according to diplomats familiar with the talks.