European officials say they're optimistic a trade deal can be reached with President Donald Trump, warning of significant harm to both sides if it isn't.

Two Trump administration sources told FOX Business that the president is working on larger trade deals with countries, not ones just involving tariffs.

Investors should keep their expectations in check. Sectoral tariffs are a risk. Any agreements in coming weeks won’t be typical trade deals, which take years to negotiate.

The chief executive of AstraZeneca said on Tuesday that the drugmaker will maintain its 2025 sales guidance even if the U.S. levies tariffs on pharma products made in the European Union, provided they are in line with rates for other sectors.

British pharmaceutical giant AstraZeneca announced Tuesday that it has begun moving some of its European production to the United States, ahead of President Donald Trump's possible tariffs on the sector.

The United States earlier in April opened the door to potential tariffs targeting pharmaceuticals, which have so far benefited from exemptions to Trump's sweeping levies on imports from trading partners.