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Radio France Internationale
Radio France Internationale
World
RFI

EU member states sign off on compromise to implement US trade pact

Donald Trump and European Commission President Ursula von der Leyen talk after reaching a trade deal at the Trump Turnberry golf course in Scotland, 27 July 2025.
Donald Trump and European Commission President Ursula von der Leyen talk after reaching a trade deal at the Trump Turnberry golf course in Scotland, 27 July 2025. AP - Jacquelyn Martin

The European Union's 27 member states have formally approved a compromise with the European Parliament in order to implement a trade deal with the United States.

The accord struck last July caps US levies on most European goods at 15 percent, but to President Donald Trump's frustration the EU had yet to make good on its pledge to scrap levies on most American imports in return.

But a compromise negotiated between EU capitals and Members of the European Parliament (MEPs) last week put the bloc on track to meet Trump's 4 July deadline to implement the deal or face punitive new levies.

Diplomats meeting in Brussels on Wednesday formally approved the text, which MEPs are to officially back when they meet in Strasbourg in mid-June.

The compromise attached safeguards to the removal of EU tariffs, should the US renege on its commitments.

But they were scaled back from MEPs' initial demands to avoid rekindling tensions with the White House. A so-called "sunset" clause for the deal's expiry was notably pushed to the end of 2029, after Trump's term ends.

The text also gave the US until the end of the year to drop extra taxes above 15 percent on steel components, rather than making it a precondition as parliament wanted.

The European Parliament, which considers the trade deal unfavourable to the EU, had suspended the ratification process several times, notably over Trump's threats this year to seize Greenland.

But the European Commission has defended the tariff pact throughout, citing the need to preserve relations with the EU's largest trading partner.

(with newswires)

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