Von der Leyen defends US trade deal
European Commission President Ursula von der Leyen has attempted to shrug off widespread criticism over the EU’s new trade agreement with the US. The controversial deal subjects most of the bloc's exports to a 15% tariff while exempting American goods from retaliatory duties.
The EU-US agreement was finalized on Sunday during a meeting with US President Donald Trump at one of his Scottish golf-resort hotels.
”15% is not to be underestimated, but it is the best we could get,” von der Leyen said, when asked by reporters whether the agreement offered relief to European carmakers.
The compromise averts a looming 30% tariff Trump had threatened to impose on August 1. However, it falls far short of the EU’s original offer of zero tariffs on both imports and exports.
Trump has long accused the EU of exploiting regulatory barriers such as VAT distortions, and legal challenges in trade with the US. Treasury Secretary Scott Bessent said the threat of tariffs was intended to “light a fire under the EU.”
After negotiations stalled earlier this year, Trump escalated his demands, imposing a 25% tariff on cars, 50% on steel and aluminum, and threatening a 30% blanket tariff unless a deal was reached by August.
The EU’s deal with the US has triggered a political backlash across the bloc. French Prime Minister Francois Bayrou called it a “dark day” and an act of “submission.” Hungary’s Viktor Orban reportedly quipped that “Donald Trump ate Ursula von der Leyen for breakfast.” Numerous business associations have decried a “capitulation.”
According to Russian Security Council Deputy Chairman Dmitry Medvedev, “Trump wiped the floor with Europe.”
Still, the deal found support in Berlin and Rome. German Chancellor Friedrich Merz and Italian Prime Minister Giorgia Meloni described it as a necessary compromise to prevent a trade war and provide predictability for export-reliant economies.
Before Trump’s return to office in January, the average US tariff on EU imports was roughly 1.5% while the bloc’s average imposed tariff was 1.35%, according to Brussels-based think tank Bruegel. Since then, a series of sweeping duties have been introduced.
