On July 27, European Commission President Ursula von der Leyen announced that the European Union and the United States had reached an agreement in their tariff negotiations. Under the deal, most EU exports to the U.S. will be subject to a 15% tariff rate, covering key sectors such as automobiles, semiconductors, and pharmaceuticals.

Both sides also agreed to implement zero tariffs on a range of strategic products, including aircraft and related components, certain chemicals, select generic drugs, semiconductor equipment, some agricultural products, natural resources, and critical raw materials.

Regarding steel and aluminum, in response to shared concerns over global overcapacity, the two parties will eliminate tariff barriers, reduce duties, and initiate discussions on an import quota system. Additionally, they pledged to deepen energy cooperation, with the EU replacing imports of Russian natural gas and oil with U.S.-produced liquefied natural gas (LNG), petroleum, and nuclear fuel.

The agreement ensures an immediate reduction in tariffs. The EU will facilitate market access for U.S. products and further lower duties on additional goods. It also establishes a framework for economic security cooperation to address non-tariff barriers.