Trump’s 15% Tariff Deal With EU Shakes Global Trade—Europe Calls It ‘Capitulation’

President Donald Trump and European Commission President Ursula von der Leyen have struck a major trade deal imposing a 15% tariff on most EU exports to the US, narrowly averting a threatened 30% tariff and a full-blown trade war. The agreement includes EU commitments to buy hundreds of billions in US energy and military goods, but experts question whether these promises are realistic. While US markets cheered the deal for reducing uncertainty, European leaders—especially in France and Germany—criticized it as a lopsided 'submission' that will hurt EU exporters, particularly in pharmaceuticals, autos, and steel. The deal leaves some sectors, like pharmaceuticals, in limbo and has sparked debate over whether the EU compromised too much to avoid harsher penalties. Overall, the agreement marks a significant shift in transatlantic trade relations, with higher costs likely for European businesses and consumers.