A new trade agreement between the United States and the European Union, announced by President Trump, promises massive European purchases of American military equipment and energy, with figures cited as high as $600 billion for defense and $750 billion for energy. The deal is being touted by Trump as a major political and economic win, opening EU markets further to US goods. However, European defense stocks have fallen sharply in response, as investors anticipate a shift in procurement away from local suppliers toward American firms. Analysts suggest the actual impact on US arms sales may be less dramatic than claimed, but the agreement signals a significant realignment in transatlantic trade priorities. The deal is expected to benefit US defense and energy sectors while challenging European competitors.
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