United States.- (AMP) The EU closes the formal agreement with the US for a general tariff of 15%

The reduction in tariffs on automobiles is conditional on better access to agricultural products and food

BRUSSELS, 21 (EUROPA PRESS)

This Thursday, the European Union closed the formal agreement with the United States for a general tariff of 15% on its exports that will also be applied to sectors such as pharmaceuticals and semiconductors, although in the case of surcharges on vehicles it is conditional on better access to American agricultural products and food.

In this way, both blocks put in writing the political agreement reached in Scotland between the community president, Ursula von der Leyen, and the American president, Donald Trump, in a joint statement that, although not legally binding, is perceived as a roadmap for trade policy between Washington and Brussels.

"This is a very important strategic agreement. We fully support it and are committed to complying with it. Let me say it clearly: the alternative, a trade war with very high tariffs and political escalation, benefits no one," said Trade Commissioner Maros Sefcovic, at a press conference from the community capital, emphasizing that 15% is a ceiling that includes all commercial fees and surcharges.

In the case of the automotive sector, cars and European parts and spare parts will benefit from a reduction in surcharges that until now stood at 27.5%, to fall under the umbrella of 15%. This measure is conditional by Washington on the EU granting preferential market access for US seafood and agricultural products, including nuts, dairy products, fresh and processed fruits and vegetables, processed foods, seed for planting, soybean oil, and pork and bison.

As explained by Sefcovic, community services are working to present these legislative proposals this month, so the European Executive says it has guarantees from Washington that the 15% tariffs will be applied retroactively on cars from August 1.

This is good news for our automobile industry, which has suffered great losses economic in recent months”, stated the commissioner who has led the negotiations with the United States in recent months.

Likewise, Brussels extracts the commitment from the United States that pharmaceutical products, semiconductors and wood do not receive tariffs higher than 15%. In this way, the maximum figure that will also be applied to these sectors, currently under investigation by the US Department of Commerce, is ensured.

WINES AND DISTILLED BEVERAGES, OFF THE LIST

Reduced tariffs of 2.5% will apply from September to unavailable natural resources such as cork, all aircraft and aircraft parts, generic drugs and their ingredients, and chemical precursors.

European wine and distilled beverages are currently left out of the list of products in the joint statement, despite the fact that Europe aspired to get a good deal. In any case, the EU and the United States will continue negotiating more sectors and products that are sensitive to their economies to expand this list of minimum tariffs.

Regarding steel, aluminum and their derived products, the joint statement consolidates the intention of Europeans and Americans to cooperate to implement a quota system so that a certain quantity can be traded with preferential treatment, although it does not offer more details about the mechanism.

NON-BINDING COMMITMENT ON INVESTMENTS IN THE USA

Another of the elements of the agreement that generated the most controversy are the commitments to European purchases of US energy worth 750 billion dollars, specifically crude oil, liquefied gas and nuclear energy, and investments of 600 billion dollars in the remainder of the US president's term.

The formal agreement includes these points but in any case uses European language and refers to “intentions” and “expectations” regarding acquisitions and investments, after Brussels has reiterated on multiple occasions that the figures are in no way binding.

Trump threatened just a week after the political agreement to raise tariffs on products to 35% if the bloc did not comply with the agreed investments.

Regarding the purchase of military material from the United States, the statement refers only to the EU's intention to substantially increase the acquisition of US-made military equipment "with the support and collaboration of the US Government", following the priority to deepen transatlantic industrial cooperation in defense matters.

The agreement reached with Washington came before the August 1 deadline set by Trump to apply widespread 30% tariffs on European productions. In general terms, the EU accepts a 'flat rate' of 15% on all imports, including areas that until now benefited from zero tariffs, such as the pharmaceutical sector, semiconductors or agricultural products, while it has not yet announced any response measures that would make these tariffs reciprocal.