U.S.-EU Tariff Deal: Gains, Losses, and a Trade War Averted

In a move that helped avert a potentially damaging transatlantic trade conflict, the United States and the European Union reached a preliminary trade agreement on Sunday, slashing proposed tariffs on most EU imports to 15%—half the initially threatened rate.

U.S. President Donald Trump and European Commission President Ursula von der Leyen announced the breakthrough during a high-profile meeting in Scotland. The agreement followed an hour-long negotiation that broke months of stalemate.

The deal mirrors elements of a similar preliminary pact between the U.S. and Japan. However, it leaves several contentious issues unresolved—including tariffs on alcoholic beverages, a politically sensitive matter on