Overview

• President Trump and European Commission President Ursula von der Leyen finalized the preliminary pact on July 27 at his Turnberry golf resort after months of threatened levies.
• The agreement mirrors recent U.S. deals with Japan and the U.K. by adopting a moderate 15 percent levy meant to prevent sharper tariffs.
• Brussels has suspended its €93 billion counter-tariff package, postponing planned 30 percent duties set to start on August 7.
• The deal defuses President Trump’s threat to impose 30 percent duties on EU goods beginning August 1.
• Transatlantic trade represents nearly 30 percent of global goods and services exchange and 43 percent of world GDP, underscoring the economic stakes of the accord.