EU Clears Major Hurdle on U.S. Trade Deal
CNBC reported Wednesday that the European Union reached a provisional agreement on legislation to remove import duties on American goods, clearing a major obstacle toward finalising a broader transatlantic trade pact before President Donald Trump’s deadline.
European Commission President Ursula von der Leyen welcomed the overnight breakthrough. She called on EU co-legislators to move quickly to lock in the deal. The agreement came after more than five hours of negotiations among EU lawmakers.
What the Provisional Agreement Contains
The deal includes a safeguard mechanism allowing Brussels to pause tariff reductions if a surge in U.S. imports damages European industries. It also grants the European Commission authority to suspend tariff preferences if Washington maintains duties above 15% on EU steel and aluminum derivatives beyond the end of 2026.
Von der Leyen posted on X that “a deal is a deal,” adding that the EU honours its commitments and that both sides can now secure stable and mutually beneficial trade across the Atlantic.
A Rocky Road to the Turnberry Agreement
The provisional deal arrives nearly a year after EU and U.S. negotiators first reached an accord at Trump’s golf resort in Turnberry, Scotland. Under those original terms, the EU agreed to scrap tariffs on American industrial goods. In return, the Trump administration agreed to cap duties on most European exports at 15%.
Progress repeatedly stalled. EU lawmakers suspended deliberations twice. The first pause followed Trump’s January threats to seize Greenland. The second came after the U.S. Supreme Court struck down a substantial portion of Trump’s broader tariff agenda in February.
Earlier this month, Trump set a firm July 4 deadline for ratification. He threatened to impose significantly higher tariffs on EU goods if the bloc missed it. He had also pledged to push car and truck duties to 25%, accusing the EU of failing to honour the Turnberry commitments.
What Comes Next for the Deal
With the provisional agreement now in place, a full ratification vote in the European Parliament is expected by mid-June. That timeline would allow the bloc to comfortably beat the July 4 ultimatum.
Lead negotiator Bernd Lange, the European Parliament’s chief trade representative, called it a “rocky journey” but said embedding the commitments into law gives the EU a stronger toolkit for managing the relationship with Washington going forward.
Željana Zovko, who led negotiations for the European People’s Party, said the agreement protects European companies and jobs on both sides of the Atlantic while avoiding a damaging escalation in trade tensions.
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