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Home»POLITICS»EU clears major hurdle to finalize U.S. trade deal
EU clears major hurdle to finalize U.S. trade deal
POLITICS

EU clears major hurdle to finalize U.S. trade deal

May 20, 2026No Comments4 Views
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Ursula von der Leyen (CDU), President of the European Fee, sits on the rostrum on the Charlemagne Prize ceremony in Metropolis Corridor.

Image Alliance | Image Alliance | Getty Pictures

European Fee President Ursula von der Leyen on Wednesday welcomed a provisional settlement on laws to take away import duties on U.S. items and referred to as on co-legislators to maneuver swiftly to finalize the method.

EU lawmakers welcomed the breakthrough after greater than 5 hours of talks in a single day, saying it possible paves the way in which for the 27-nation bloc to keep away from a menace by U.S. President Donald Trump to punish an extra delay with larger tariffs.

The settlement features a safeguard mechanism that will let Brussels droop tariff reductions within the occasion that U.S. imports hurt European trade.

It additionally permits the European Fee, the EU’s government arm, to droop tariff preferences if the U.S. continues to use a tariff charge larger than 15% on EU metal and aluminum derivatives by the tip of 2026.

The provisional settlement comes virtually a 12 months after the EU and U.S. first struck a commerce deal at Trump’s golf resort in Turnberry, Scotland. Underneath the phrases of the accord, the EU agreed to scrap tariffs on U.S. industrial items, whereas the Trump administration agreed to cap tariffs on most European items at 15%.

“A deal is a deal, and the EU honours its commitments,” the EU’s von der Leyen mentioned on Wednesday through X. “Collectively, we are able to guarantee steady, predictable, balanced, and mutually useful transatlantic commerce.”

EU lawmakers had twice paused its deliberations after Trump in January threatened to grab Greenland, a self-governing Danish territory, and once more in February after the Supreme Court docket struck down an enormous chunk of Trump’s far-reaching tariff agenda.

Earlier this month, the U.S. president mentioned he would give the EU till July 4 to ratify its commerce settlement with Washington, threatening to lift tariffs to “a lot larger” ranges if it failed to take action.

He had additionally pledged to lift duties on automobiles and vehicles imported from the EU to 25%, accusing the bloc of not complying with the phrases of the so-called “Turnberry Settlement.”

The EU is now anticipated to fulfill Trump’s July 4 deadline, with a vote for remaining approval anticipated to happen in mid-June.

‘Rocky journey’

Europe has “averted a harmful escalation of transatlantic commerce tensions and guarded European corporations, investments and hundreds of thousands of jobs on each side of the Atlantic,” Željana Zovko, the lead negotiator within the European Individuals Celebration’s group on the U.S. commerce deal, mentioned on Wednesday.

US President Donald Trump holds a bilateral assembly with European Fee President Ursula Von der Leyen on the sidelines of the United Nations Basic Meeting in New York Metropolis on September 23, 2025.

Brendan Smialowski | Afp | Getty Pictures

Bernd Lange, the European Parliament’s chief commerce negotiator, described the method as a “rocky journey” however one which was worthwhile.

“By setting the commitments below the joint assertion into regulation, this regulation turns into a part of the EU’s toolkit to enhance EU-US relations but additionally responds to stress,” Lange mentioned in an announcement.

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