European Union and United States agreement
Photo. @joaquincorbalan/Envato
Joint statement on the framework agreement between the United States and the European Union on reciprocal, fair, and balanced trade.
The new agreement between the United States and the European Union on reciprocal, fair, and balanced trade, announced on August 21, 2025, represents a significant step toward deepening transatlantic integration. The agreement provides for the removal of EU tariffs on American industrial products and preferential access for many agricultural and food goods, while the United States will introduce tariffs based on the Most Favored Nation principle, with an upper limit of 15% in key sectors such as pharmaceuticals, semiconductors, timber, and vehicles.
An important element of the agreement is also cooperation in the fields of energy and technology, involving multibillion-dollar investments in LNG, oil, nuclear energy, and AI-related semiconductors, aimed at ensuring greater supply security and strengthening control over critical value chains. The parties also announced an increase in EU investments in the United States and an intensification of purchases of military equipment, which is intended to strengthen interoperability within NATO and deepen the economic relationship with a defense component. In addition, the agreement foresees simplifications in standardization, mutual recognition of certificates, cooperation in the areas of cybersecurity and intellectual property protection, as well as measures to eliminate forced labor and support digital trade.
In the broader geopolitical context, the agreement emerges as part of building a common technological front against China. Both Brussels and Washington see it as a tool to counter Beijing’s growing influence in the field of new technologies and infrastructure. This means that the agreement goes beyond purely economic issues, becoming part of the strategic architecture of the West, based on shared norms, interests, and values.
Author: Justyna Smoleń