Scotland: The United States and the European Union had struck a wide-ranging trade agreement, defusing months of escalating tensions and averting a major transatlantic trade war just days before Washington was set to impose punitive tariffs on European goods.
The agreement, finalized during a private meeting between US President Donald Trump and European Commission President Ursula von der Leyen at Trump’s Turnberry golf resort in Scotland, establishes a 15 percent tariff on most European imports, replacing a planned 30 percent levy that was scheduled to take effect on August 1.
“It was an exciting negotiation. I think it’s going to be great for both parties,” Trump said. Calling it the biggest deal ever made, the president framed the agreement as a victory for American industry and workers.
Von der Leyen said the deal would restore stability and predictability for businesses on both sides of the Atlantic. “We’ve shown that cooperation is possible, even when positions are tough,” she said.
Under the deal, the US will impose a uniform 15 percent tariff on a broad range of European goods, including automobiles, offering relief to Europe’s auto industry, which had faced a combined duty of 27.5 percent since April.
🚨HISTORIC US-EU DEAL MADE🚨@POTUS is taking bold action to secure FAIR trade deals for America and our farmers — and he’s delivering.
Here’s what it means for US Ag:
✅ 15% tariffs on most European imports and 0% on most U.S. exports
✅ EU to purchase $750 billion in U.S.… pic.twitter.com/jp1lwnEhYB
— Secretary Brooke Rollins (@SecRollins) July 27, 2025
A limited category of products, including aircraft parts, semiconductor equipment, specialty chemicals, and selected agricultural goods, will be exempt from tariffs entirely.
According to Trump, the EU has also pledged to purchase approximately $750 billion in American energy products and increase overall European investment in the US by $600 billion.
The EU is the US’s largest trading partner, with bilateral trade in goods and services totaling nearly $2 trillion last year. The breakthrough is the most comprehensive trade agreement announced during Trump’s second term, following earlier pacts with Japan, the UK, and Southeast Asian nations.
The accord comes after months of intense negotiations, marked by repeated threats and sharp rhetoric. Earlier this month, talks nearly collapsed when Trump demanded that the EU match the 15 percent tariff rate he had negotiated with Japan.
Brussels had prepared a retaliatory tariff list targeting US exports, from beef and bourbon to aircraft and auto parts, in case no deal was reached. German Chancellor Friedrich Merz said that, “This applies particularly to the automotive sector, where the reduction from 27.5 percent to 15 percent is a significant relief.”
Today, President Trump secured a HUGE, POWERFUL TRADE DEAL between the U.S. and EU 🇺🇸
The EU will:
💰 Invest $600 Billion in U.S.
⚡️ Purchase $750 Billion in American Energy
💸 Open Markets to U.S. pic.twitter.com/PWNtlhpH5b— The White House (@WhiteHouse) July 28, 2025
Italian Prime Minister Giorgia Meloni cautiously praised the outcome but said her government would wait to review the full text before offering full support.
However, some European lawmakers criticized the deal. Danish MP Rasmus Jarlov of the Conservative People’s Party called it deeply flawed, arguing that it would raise consumer prices and harm both economies.
President Trump, who is on a four-day European trip, is scheduled to meet British Prime Minister Keir Starmer in London on Monday, where trade talks are expected to dominate the agenda. A US–UK trade framework was announced in May, but several provisions remain unresolved.
Trump will travel to Aberdeen on Tuesday to inaugurate his third golf course in Scotland before returning to Washington later that evening.
