Trump Forces Europe Into Costly Trade Deal: 15% Tariffs Avert Transatlantic Trade War

The United States and European Union have reached a major trade agreement that imposes a 15% tariff on most EU exports to the US, narrowly avoiding a threatened 30% tariff and a full-blown trade war. While President Trump hailed the deal as a victory for American interests, European leaders expressed frustration, with France calling it a 'submission' and warning of higher costs for European exporters. The agreement also includes EU commitments to purchase more US energy and military goods, but some promises, like $600 billion in investments, are not guaranteed. Investors welcomed the deal for providing stability, but critics argue it will raise prices, slow growth, and leave some industries, like pharmaceuticals and steel, facing uncertainty. The outcome highlights the EU's limited leverage in the face of US tariff threats and sets a new, higher baseline for transatlantic trade barriers.