DATA & FIGURES
The deal includes a 15% tariff on most EU exports to the US, while the EU has cut import duties on some US goods to 0%. The European Commission will be able to suspend tariff preferences for US goods by December 31, 2026, if the US continues to apply tariffs on steel derivatives. The commission will report to the parliament on the matter by December 1. By June 30, 2029, the commission is required to conduct an assessment of the impact on EU industry of the 0% tariffs on US goods for agriculture and small- to medium-sized businesses.
THE SCENARIO
The approval of the deal comes at a time of heightened tensions between the US and the EU over trade. The US has imposed tariffs on EU products, citing national security concerns, which the EU has protested against. The deal is an attempt to achieve stability for businesses and industry, despite the supreme court in the US having already ruled the 15% tariff at the heart of the deal.
DIRECT QUOTE
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BBN INSIGHT
The approval of the Trump tariff deal is a significant step towards reducing trade tensions between the US and the EU. However, the deal is not without its challenges, and the EU has made it clear that it will not hesitate to suspend tariff preferences for US goods if the US continues to apply tariffs on steel derivatives.