US, EU Seal Major Trade Deal Ending Tariff Dispute

Following a high-level meeting at his golf resort in Scotland with European Commission President Ursula von der Leyen, US President Donald Trump called the agreement the “biggest-ever.”

Trump stated, “We’ve reached a deal. It’s a good deal for everybody. This is probably the biggest deal ever reached in any capacity.” He confirmed that a baseline tariff of 15 percent will apply broadly, covering key sectors such as automobiles, pharmaceuticals, and semiconductors.

As part of the agreement, the 27-nation EU bloc has committed to purchasing “$750 billion worth of energy” from the United States and making $600 billion in additional investments.

Von der Leyen described the planned purchases of US liquefied natural gas, oil, and nuclear fuels as “significant,” noting they will take place over three years as part of the EU’s efforts to diversify away from Russian energy sources. She said, “It’s a good deal. It will bring stability. It will bring predictability. That’s very important for our businesses on both sides of the Atlantic.”

The EU chief also mentioned that bilateral tariff exemptions have been agreed upon for several “strategic products,” including aircraft, certain chemicals, select agricultural goods, and critical raw materials.

Von der Leyen added that the EU still aims to finalize additional “zero-for-zero” agreements, particularly for alcohol, which she hopes will be “sorted out” in the coming days.

Trump further noted that EU countries will be purchasing “hundreds of billions of dollars worth of military equipment” as part of the deal.

Read More: Israel Threatens to Directly Target Iranian Supreme Leader