The US agreement. With the EU it establishes a 15% tariff in most goods, avoiding the threat of the commercial war

Edimburg, Scotland (AP) – United States and the European Union agreed on Sunday a commercial framework that established a 15% rate in most goods, which is attenuated, at least for now, much higher imports on both sides that could have sent shock waves through economies around the world.

The broad announcement occurred after President Donald Trump and the head of the European Commission, Ursula von der Leyen, briefly met in the Turnberry Golf field of Trump in Scotland. His private seated culminated months of negotiation, with the deadline of the White House on Friday for imposing punishing rates in the countries of 27 EU members.

“It was a very interesting negotiation. I think it will be great for both parties,” Trump said. The agreement, he said, was “a good business for all” and “a giant treatment with many countries.”

Von der Leyen said the agreement “will bring stability, it will bring predictability, that is very important for our businesses on both sides of the Atlantic.”

Many facets will require more work

Jacquelyn Martin through News

As with others, recent tariff agreements announced with countries, including Japan and the United Kingdom, some important details remain pending in it.

Trump said the EU had agreed to buy an American energy worth $ 750 billion and invest $ 600 billion more than what is already in the United States, as well as make a significant purchase of military equipment. He said that tariffs “for cars and everything else will be directly through the 15%tariff” and meant that US exporters “have the opening of all European countries.”

Von der Leyen said that 15% tariffs were “in all areas, all inclusive” and that “basically the European market is open.”

At a later press conference far from Turnberry, he said that the $ 750 billion in additional American energy purchases were actually in the next three years, and would help relieve the dependence of Russian natural gas among the countries of the block.

“When the European Union and the United States work together as partners, the benefits are tangible,” said Von der Leyen, noting that the agreement “stabilized in a unique tariff rate for the vast majority of EU exports,” including cars, semiconductors and pharmaceutical products.

“15% is a clear roof,” he said.

But von der Leyen also clarified that such rate would not apply to everything, saying that both parties agreed “zero for zero tariffs in a series of strategic products”, such as all aircraft and component parts, certain chemical products, certain generic medicines, semiconductor equipment, some agricultural products, natural resources and critical raw materials.

It is not clear if alcohol will be included in that list.

“And we will continue working to add more products to this list,” he said, while emphasizing that “the frame means the figures that we have just explained to the public, but, of course, the details must be resolved. And that will happen in the coming weeks”

Additional EU is needed

Brendan Smialowski/News through Getty Images

Meanwhile, there will be a job to do on other fronts. Von der Leyen had the mandate to negotiate because the European Commission handles trade for member countries. But the commission must now submit the agreement to the legislators of the Member States and the EU, who will finally decide whether or not they will approve.

Before his meeting began, Trump promised to change what characterized “a very unilateral transaction, very unfair to the United States.”

“I think both parties want to see justice,” the Republican President told journalists.

Von der Leyen said that the United States and the EU combined have the largest commercial volume in the world, which covers hundreds of millions of people and billions of dollars and added that Trump was “known as a difficult negotiator and merchant.”

“But fair,” Trump said.

Trump has spent months threatening most of the world with large tariffs in the hope of reducing the main commercial deficits of the United States with many key commercial partners. More recently, he had suggested that any agreement with the EU would have to “buy down” a 30% tariff rate that had been established to enter into force.

But during his comments before the agreement was announced, the president was ceded if he would be willing to accept tariff rates below 15%, and said “no.”

First golf, then commercial talk

Christopher Furlong through Getty images

A small group of protesters in the course stirred the American flags and raised a sign criticizing the British prime minister Keir Starmer, who plans his own Turnberry meeting with Trump on Monday.

Other voices could be heard, teaching and singing “Trump! Trump!” While playing nearby.

On Tuesday, Trump will be in Aberdeen, in Northeast of Scotland, where his family has another golf course and will open a third next month. The president and his children plan to help cut the tape in the new course.

The United States and the EU seemed close to an agreement earlier this month, but Trump threatened the 30%tariff rate. The deadline for the Trump administration to begin to impose tariffs has changed in recent weeks, but now it is firm and on Friday, the administration insists.

“There are no extensions, no more periods of grace. On August 1, the tariffs are established, they will enter its place, customs will begin to collect the money and be,” said the United States Secretary of Commerce, Howard Lutnick, to “News Sunday” before the EU agreement was announced. He added, however, that even after that “people can still talk to President Trump. I mean, they are always willing to listen.”

Without an agreement, the EU said she was prepared to retaliate with tariffs in hundreds of American products, ranging from beef and autopartes to beer and boeing aircraft.

If Trump finally followed his threat of tariffs against Europe, meanwhile, he could have done everything, from French cheese and Italian leather articles to German electronic products and more expensive Spanish pharmaceutical products in the United States.

“I think it’s great that we have made a deal today, instead of playing and maybe not make a deal at all,” Trump said. “I think it’s the biggest business ever done.”

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News Seung Min Kim writers in Cincinnati and Samuel Petrequin in London contributed to this report.