EU agrees to implement US trade deal struck last summer

"The EU has finally agreed to implement its trade deal with the US after five hours of talks between members of the European parliament and member states in the hope of averting more tariffs threatened by Donald Trump. It means the agreement struck last July at the US president's Scottish golf course can now enter into force, removing import duties on most US goods entering the EU. This means we will soon deliver on our part, said the European Commission president, Ursula von der Leyen, welcoming the pact. Together, we can ensure stable, predictable, balanced and mutually beneficial transatlantic trade."

"The agreement puts the bloc on track to meet Trump's 4 July deadline for ratification of the deal, which has already been implemented in the US. The trade commissioner, Maros Sefcovic, said of the talks that ended at about 2am in Brussels: Collective effort. Strong result. Meaningful work. After more than five hours of intensive negotiations the EU has shown that we are a reliable trading partner, while standing firm in defending the interests of European stakeholders."

"MEPs had twice frozen the process to ratify the deal in protest at Trump's threat of higher tariffs in January and then his threat to take control of Greenland. Although the US supreme court has already ruled that Trump's imposition of 15% tariffs on most EU exports was illegal, EU chiefs took the decision to honour the deal in an effort to stabilise the trading environment for businesses, including in the car industry which had been hit with 27.5% tariffs."

"MEPs had demanded a sunset clause allowing the EU to end the deal on 31 March 2028 and a suspension clause if Trump broke his word and increased the 15% tariff rate. The transatlantic relationship is the EU's most significant, worth more than 1.8tn in 2025. The final text empowers the European Commission to trigger the suspension mechanism if the US fails to meet its commitments or disrupts trade and investment with the EU, including by discriminati"

The EU agreed to implement its trade deal with the US after five hours of negotiations between European parliament members and member states. The agreement reached in July can enter into force, removing import duties on most US goods entering the EU. The European Commission president welcomed the pact as stable, predictable, balanced, and mutually beneficial. The EU is on track to meet a 4 July deadline for ratification, while the US has already implemented the deal. EU officials chose to honour the deal to stabilise the trading environment for businesses, including the car industry affected by 27.5% tariffs. MEPs had previously frozen ratification in protest over tariff threats and Greenland. MEPs demanded a sunset clause ending the deal on 31 March 2028 and a suspension clause if tariff rates increase. The final text empowers the European Commission to trigger suspension if the US fails commitments or disrupts trade and investment, including through discrimination.

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