On Sunday, July 27th, the United States and the European Union reached a trade agreement. The US agreed to reduce tariffs on goods from the EU by half to 15%, while the EU agreed to buy a significant amount of US energy products and military equipment and invest heavily in the US. Additionally, both sides reached a consensus on zero tariffs for strategic products such as aircraft and semiconductor equipment. Following the agreement, leaders of the EU and its member countries responded positively.
Ursula von der Leyen, President of the European Commission, stated on the social media platform X, “The EU and the US together represent a market of 800 million people, accounting for nearly 44% of global GDP. This is the largest trade agreement in history.”
Antonio Costa, President of the European Council, praised von der Leyen and the European Commission for their work in stabilizing transatlantic trade. He emphasized the importance of cooperation, protecting the EU’s core interests, and providing certainty for businesses. Costa called for further enhancing the EU’s competitiveness and expanding its global trade network based on this agreement.
Roberta Metsola, President of the European Parliament, welcomed the trade agreement between the EU and the US. She highlighted the importance of strengthening transatlantic partnerships and pledged to analyze the agreement to ensure it benefits European businesses and consumers.
Italian Prime Minister Giorgia Meloni expressed cautious optimism about the agreement, stating the need to review the details before making a full assessment. Italy, one of the largest exporters to the US in Europe, maintains a trade surplus with the US exceeding 40 billion euros.
Meloni emphasized that the EU-US trade agreement ensures stability and noted that the 15% tariff is sustainable, particularly if it does not compound existing tariffs as initially planned.
Dutch Prime Minister Dick Schoof underscored the significance of the agreement for the Netherlands, an open economy heavily reliant on trade with the US. Schoof expressed gratitude towards the European Commission for its efforts to secure the best outcome for Dutch businesses and consumers, emphasizing the importance of clear policies and market stability.
Irish Minister for Trade Simon Harris highlighted the much-needed certainty provided by the agreement between the EU and the US. While expressing regret over the 15% benchmark tariff, Harris emphasized the importance of increased certainty in the foundation of transatlantic trade relations for employment, growth, and investment.
(Source: Reuters)