After months of uncertainty in transatlantic trade relations, the US and the European Union have agreed on a new tariff deal. At a face-to-face meeting at the Turnberry golf resort in Scotland on Sunday, US President Donald Trump and EU Commission President Ursula von der Leyen announced the successful conclusion of the negotiations.

At the heart of the agreement is a uniform tariff of 15 percent on imports from the EU to the United States. “We have reached an agreement. It is a good deal for everyone,” Trump said after the talks. Ursula von der Leyen also expressed her satisfaction: “It is a fair, sustainable agreement based on reciprocity.”

Tariffs as a political lever

Tensions between Washington and Brussels had been mounting in the run-up to the talks. Trump had recently threatened the EU with punitive tariffs of up to 30 percent on European imports from August 1. Products from the automotive, steel, and aluminum industries would have been particularly affected.

Trump justified his tough stance with a long-standing imbalance: “Trade relations were good, but one-sided. The US has been treated unfairly. Now we want fairness for both sides.“ The new deal is a step in that direction.

EU praises successful negotiations

According to Trump, the chances of reaching an agreement had long been only ”50:50.“ The relief over the compromise is now all the greater. ”We didn’t want escalation, we wanted a solution,” von der Leyen emphasized. She praised Trump as a “tough but predictable negotiator” and spoke of one of the “biggest trade agreements” the EU has ever concluded.

Despite the positive signals, some issues remain unresolved. Although the special tariffs on steel, aluminum, and cars are to be reviewed in further talks and possibly withdrawn, there are no binding commitments on this yet.

The agreement with the EU follows a similar deal with Japan, in which Tokyo agreed to a 15 percent tariff and additional concessions, among other things. Trump is thus consistently pursuing his goal of reducing the US trade deficit while securing his domestic policy goals, in particular tax reforms.

Credit: APA