European Commission President Ursula von der Leyen announced that the European Union and the United States have reached a comprehensive agreement on tariffs and trade.
The agreement establishes a single 15 percent tariff rate for most sectors, including automotive, semiconductors, and pharmaceuticals, providing greater clarity and predictability for businesses and citizens on both sides of the Atlantic. It also imposes zero tariffs on a number of strategic goods, such as aviation components, certain chemicals, generics, semiconductor equipment, agricultural goods, natural resources, and critical raw materials.
With regard to steel and aluminum, both sides recognized the common problem of global overcapacity. The agreement provides for tariff reductions and the introduction of a quota system aimed at encouraging fair competition and reducing trade barriers between the EU and the United States.
"With regard to steel and aluminum production, the EU and the United States face a common external problem - a global excess of production capacity. We will work together to ensure fair global competition. And in order to reduce the barriers between us, tariffs will be reduced. And a quota system will be introduced," President von der Leyen said.
Additional elements of the deal include the expansion of transatlantic energy cooperation, while the EU intends to diversify its supplies by increasing purchases of American LNG, oil and nuclear fuel. In addition, American artificial intelligence chips are expected to support Europe's digital infrastructure, including artificial intelligence gigafactories.
The agreement provides for immediate tariff reductions, provides continued access to key export markets, and lays the foundation for further tariff reductions and economic cooperation.
President Von der Leyen also stressed to the European Commission that this deal is an important step in the broader EU trade strategy, along with recent trade agreements concluded with Mercosur, Mexico and Indonesia.
The European Commission thanked President Trump, Commissioner Maros Sefcovic and the EU member states for their role in achieving this result.
