Updated
Updated · The New York Times · Jun 16
EU Lawmakers Approve 0% Tariffs on U.S. Industrial Goods as Many EU Exports Stay Near 15%
Updated
Updated · The New York Times · Jun 16

EU Lawmakers Approve 0% Tariffs on U.S. Industrial Goods as Many EU Exports Stay Near 15%

3 articles · Updated · The New York Times · Jun 16

Summary

  • 440 lawmakers backed the pact, moving the EU to zero tariffs on U.S. industrial goods including machinery, car parts and lobster, with cuts also planned for some American farm products.
  • The vote came under a July 4 deadline after Donald Trump warned Europe faced much higher tariffs if the long-delayed deal was not finalized.
  • EU member states still must give final approval, but Tuesday’s vote effectively completes the hardest part of a yearlong ratification process.
  • Many European goods shipped to the U.S. will still face tariffs of about 15%, and parts of the deal can be suspended if Washington fails to uphold its side; some provisions expire after 2029.
  • The agreement, struck last summer at Turnberry, had been delayed by Trump’s Greenland threats, a U.S. Supreme Court ruling against many tariffs, and fresh threats of 100% duties on French wine and Champagne.

Insights

With digital tax disputes still raging, is this new EU-US trade deal built on a foundation of sand?
As China dominates critical minerals, can the EU and US resolve their trade disputes to secure vital supply chains?