It took just 75 minutes for President Trump to get what he wanted out of the European Union.<\/p>\n
That\u2019s how long he and European Commission President Ursula von der Leyen were away from the cameras.<\/p>\n
When they returned, Trump was triumphant. Europe\u00a0agreed to buy\u00a0$750 billion in American energy products, invest $600 billion in new money in the US and purchase additional US military equipment, according to the terms of the preliminary agreement.<\/p>\n
Tariffs on many American exports will drop to zero. Duties on most European goods coming into the US rise to 15%.\u00a0<\/p>\n
President Trump announced a new trade deal between the United States and the European Union after a meeting with European Commission President Ursula von der Leyen in Scotland on July 27, 2025. Photo by BRENDAN SMIALOWSKI\/AFP via Getty Images<\/p>\n
The EU agreed to purchase $750 billion of American energy and invest $600 billion into the US beyond current levels. Getty Images<\/p>\n
Tariffs on many American exports will drop to zero. Duties on most European goods coming into the US rise to 15%.\u00a0<\/p>\n
\u201cI think it\u2019s the biggest deal ever made,\u201d Trump proclaimed.<\/p>\n
The stated terms of the tariff deal appeared to be remarkably lopsided in favor of the US. Von der Leyen suggested that the only real concession from the Americans was that Trump would not impose 30% tariffs he had threatened.<\/p>\n
The 27-member bloc is America\u2019s biggest trading partner if taken together, with total trade hitting\u00a0$1.97 trillion last year. The US trade deficit for goods was $235 billion.\u00a0<\/p>\n
The deal avoids a trade war between two economies that account for about 44% of the world\u2019s gross domestic product \u2014 less than a week before steep \u201cLiberation Day\u201d were set to bite. <\/p>\n
\u201cI think we\u00a0both\u00a0wanted to make a deal,\u201d the president said. \u201cIt\u2019s going to bring us closer together. I think this deal will bring us very close together.\u201d<\/p>\n
Before announcing the agreement, both Trump and Von der Leyen put the odds at making a deal at 50-50. The European leader had flown to Scotland to meet Trump at his Turnberry golf course, where the president spent the morning playing with son Eric.\u00a0<\/p>\n
Trump touted the agreement as the \u201cbiggest deal ever made.\u201d AP<\/p>\n
\u201cThe starting point was an imbalance \u2014 a surplus on our side and a deficit on the US side,\u201d the EU boss said when asked about the concessions Trump made. \u201cAnd we wanted to rebalance the trade relation, and we wanted to do it in a way that trade goes on between the two of us across the Atlantic.\u201d<\/p>\n
Both sides also agreed to have zero-for-zero tariff rates on \u201ca number of strategic products\u201d such as aircraft and component parts, certain chemicals, certain generics, semiconductor equipment, specific agriculture products, natural resources and critical raw materials, according to\u00a0Von der Leyen.<\/p>\n
Part of the arrangement also involved a European agreement to \u201cpurchase a vast amount of military equipment\u201d from the US, though Trump noted, \u201cWe don\u2019t know what that number is\u201d yet.\u00a0<\/p>\n
Von der Leyen and Trump both shook hands and commended each other on the deal.<\/p>\n
European negotiators had sought to score a 10% tariff from the US, mirroring Trump\u2019s baseline rate against foreign countries and the preliminary trade deal he inked with the United Kingdom in May.<\/p>\n
Most European goods will face 15% tariffs under the agreement. AFP via Getty Images<\/p>\n
One of the goals for Europe was to bring down US tariffs on automobile exports. Trump imposed a\u00a027.5% rate on autos in April. Trump predicted that American auto manufacturers and farmers would be among the happiest constituencies with the deal.\u00a0<\/p>\n
\u201c<\/strong>I think maybe cars would be the one that would go the biggest, and the second would be agriculture, the farmers,\u201d he said.\u00a0<\/p>\n Before announcing the deal, Trump signaled that \u201cpharmaceuticals won\u2019t be part\u201d of the deal he was planning because his administration is planning a more aggressive approach to reshore manufacturing in that sector.\u00a0Pharmaceuticals are Europe\u2019s\u00a0largest export<\/a>\u00a0to the US. Trump\u00a0threatened 200% tariffs<\/a>\u00a0on those products last month.\u00a0<\/p>\n Trump also clarified that his steel and aluminum tariff policy is \u201cstaying the way it is,\u201d meaning it would remain at the 50% worldwide rate that Trump announced in June.\u00a0<\/p>\n Trump emphasized during his gaggle with reporters that he has no intention of delaying the Aug. 1 deadline before his customized \u201cLiberation Day\u201d tariffs take effect. Getty Images<\/p>\n The EU boss signaled plans to have a quota system on steel and aluminum, but didn\u2019t elaborate.\u00a0<\/p>\n Von der Leyen hailed Trump as a tough negotiator and dealmaker.\u201d<\/p>\n \u201cAnd fair,\u201d Trump interjected.<\/p>\n The EU boss also characterized negotiations\u00a0with the US president as \u201cvery difficult\u201d and acknowledged the visible tension between the two before they reached the agreement.<\/p>\n Republican lawmakers back home quickly heralded Trump\u2019s deal with the Europeans a significant victory.\u00a0<\/p>\n