Trump and EU strike deal for 15 per cent tariffs on most goods, avoiding trade war
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The sweeping announcement came after President Donald Trump and European Commission chief Ursula von der Leyen met briefly at Trump's Turnberry golf course in Scotland. Their private sit-down culminated months of bargaining, with the White House deadline Friday nearing for imposing punishing tariffs on the EU's 27-member countries.
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'It was a very interesting negotiation. I think it's going to be great for both parties,' Trump said. The agreement, he said, was 'a good deal for everybody' and 'a giant deal with lots of countries.'
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As with other recent tariff agreements that Trump announced with countries including Japan and the United Kingdom, some major details remain pending in this one.
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Trump said the EU had agreed to buy some $750 billion worth of U.S. energy and invest $600 billion more than it already is in America — as well as make a major military equipment purchase. He said tariffs 'for automobiles and everything else will be a straight across tariff of 15 per cent' and meant that U.S. exporters 'have the opening up of all of the European countries.'
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Von der Leyen said the 15 per cent tariffs were 'across the board, all inclusive' and that 'indeed, basically the European market is open.'
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At a later news conference away from Turnberry, she said that the $750 billion in additional U.S. energy purchases was actually over the next three years — and would help ease the dependence on natural gas from Russia among the bloc's countries.
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'When the European Union and the United States work together as partners, the benefits are tangible,' Von der Leyen said, noting that the agreement 'stabilized on a single, 15 per cent tariff rate for the vast majority of EU exports,' including cars, semiconductors and pharmaceuticals.
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'15 per cent is a clear ceiling,' she said.
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But von der Leyen also clarified that such a rate wouldn't apply to everything, saying that both sides agreed on 'zero for zero tariffs on a number of strategic products,' like all aircraft and component parts, certain chemicals, certain generic drugs, semiconductor equipment, some agricultural products, natural resources and critical raw materials.
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