US and EU Strike Massive Trade Deal, But Europe Faces Steep Tariffs and Criticism

The United States and European Union have reached a landmark trade agreement, narrowly avoiding a full-blown trade war just days before a major tariff deadline. Under the deal, the EU will face a 15% tariff on most goods exported to the US—significantly lower than the 30% previously threatened, but still more than triple the prior average. In exchange, the EU has agreed to purchase hundreds of billions of dollars in US energy and military equipment and invest heavily in the American economy. While the deal has been welcomed by markets and some leaders for providing stability, it has drawn sharp criticism from others in Europe, who see it as a capitulation to US pressure. The agreement is expected to have major implications for industries such as automotive and aviation, and marks a significant shift in transatlantic trade relations.