Trump, Von der Leyen Secure US-EU 15% Tariff Deal to Avoid Trade War/ Newslooks/ WASHINGTON/ J. Mansour/ Morning Edition/ The United States and European Union agreed Sunday to a 15% tariff cap on most goods, preventing a looming trade war. The deal, finalized at Trump’s Turnberry resort with EU chief Ursula von der Leyen, ensures market stability and expanded energy partnerships. Key product categories will see zero tariffs, while others face uniform import rates.
US-EU Trade Pact Announced: Tariff Agreement Quick Looks
- 15% baseline tariff set on most goods traded between the U.S. and EU
- Agreement reached during private meeting at Trump’s Turnberry golf resort in Scotland
- Trump called the deal a “giant agreement” involving $750B in U.S. energy purchases over three years
- Von der Leyen emphasized the deal provides stability and predictability for transatlantic businesses
- Strategic sectors — including aircraft, chemicals, raw materials, and pharmaceuticals — exempt from tariffs
- Trump: “It’s going to be great for both parties”
- Tariffs on autos, semiconductors, and more to be capped at 15% across the board
- EU leaders still must ratify the deal, with member-state approval pending
- The agreement averts retaliatory EU tariffs on $93B in American goods
- Talks followed months of threats from Trump to hike tariffs to 30% starting August 1
- Deal builds on recent similar pacts with Japan and the U.K.
Deep Look
Trump and EU Finalize 15% Tariff Deal at Scottish Golf Resort, Avoid Global Economic Shock
EDINBURGH, Scotland — July 28, 2025
In a pivotal moment for global trade relations, U.S. President Donald Trump and European Commission President Ursula von der Leyen finalized a sweeping trade agreement on Sunday, capping tariffs at 15% on most goods and averting a potentially devastating transatlantic trade war.
The agreement was reached during a brief but high-stakes meeting at Trump’s Turnberry golf resort in Scotland, just days before the White House’s August 1 deadline for implementing steep new tariffs on EU goods.
“It was a very interesting negotiation,” said Trump. “A good deal for everybody.”
The Deal at a Glance
The framework calls for a uniform 15% tariff across most categories of goods traded between the United States and the 27-nation EU bloc. While not all details are finalized, the agreement represents the clearest sign yet that the two economic superpowers are committed to avoiding further disruption in a fragile global economy.
Von der Leyen, speaking after the deal was announced, underscored its strategic importance.
“This will bring stability, predictability — very important for businesses on both sides of the Atlantic,” she said.
The European Commission president clarified that the $750 billion energy purchase pledge from the EU would be spread over three years. She added that it would help reduce the bloc’s dependence on Russian natural gas, a long-standing vulnerability exacerbated by recent geopolitical tensions.
Zero-Tariff Carveouts for Strategic Sectors
Despite the 15% baseline, some critical industries will benefit from full tariff exemptions:
- All aircraft and component parts
- Certain chemicals
- Semiconductor equipment
- Some agricultural products
- Natural resources and rare raw materials
- Generic pharmaceuticals
Von der Leyen confirmed that “15% is a ceiling,” and negotiations will continue in coming weeks to potentially expand the zero-tariff category.
Next Steps: EU Approval Process
Though von der Leyen led the negotiations on behalf of the EU, the deal now heads to EU member states and the European Parliament for ratification. Approval is expected but not guaranteed, especially amid political divisions in Europe over aligning trade policy with Trump’s administration.
Trump, meanwhile, told reporters before the meeting that any new trade framework must correct what he described as “a very one-sided transaction”.
“I think both sides want to see fairness,” he said, before adding that von der Leyen was “a tough negotiator… but fair.”
Trump’s Trade Strategy and Global Ripple Effects
This agreement is part of a broader Trump administration strategy to renegotiate trade relations worldwide. In recent months, similar deals were struck with Japan and the U.K., each involving tariff realignments, energy purchases, and military equipment sales.
Had talks failed, the U.S. had vowed to begin collecting 30% tariffs on EU goods starting August 1. European officials had prepared a retaliatory list targeting U.S. exports from automobiles and beer to medical devices and Boeing aircraft.
Commerce Secretary Howard Lutnick previously warned there would be “no more grace periods.”
“Customs will start collecting the money, and off we go,” Lutnick told Fox News before the deal’s announcement.
Golf and Geopolitics
True to his signature style, Trump balanced diplomacy with downtime, hitting the links at Turnberry for a second straight day before and after the talks. Joined by his sons Eric and Donald Jr., the president appeared relaxed as talks progressed.
The five-day Scotland visit, mixing business and golf, also includes a ribbon-cutting ceremony for a new Trump-branded course near Aberdeen, as well as meetings with UK Prime Minister Keir Starmer.
“I think it’s great that we made a deal today,” Trump concluded. “I think it’s the biggest deal ever made.”
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