US, EU reach trade deal with 15% tariffs after ‘tough negotiations’

LONDON

The US and the EU on Sunday reached a trade deal, ending months-long uncertainty, President Donald Trump announced following a meeting with European Commission President Ursula von der Leyen in Scotland.

"I think it's great that we made a deal today, instead of playing games," Trump told reporters, along with von der Leyen, following talks at his golf resort in Turnberry, Scotland.

The US president said he thinks the deal is going to be "great" for both parties, which sets the US rate at 15% on EU goods.

Earlier, Washington had threatened a tariff rate of 30%.

In response to a question earlier Sunday, Trump said the US will not go below 15% import taxes.

"It's going to bring us closer together... it's a partnership in a sense," added Trump.

He described the deal as the "biggest deal ever made," adding that the US is considering deals with "three or four other countries."

$600B of EU investment in US

As part of the deal, the EU will invest $600 billion in the US, while the bloc will purchase $750 billion in US energy and military equipment.

"Energy is a very important component," Trump said during the joint news conference.

For her part, the European Commission president also praised the deal, saying it is a "huge deal."

"We have a deal; we have a trade deal between the two largest economies in the world, and it's a big deal," she noted, which comes following "tough negotiation."

She added: "It will bring stability; it will bring predictability… that's very important for our businesses on both sides of the Atlantic."

That's very important for businesses on both sides of the Atlantic, added von der Leyen, reiterating that they have agreed to 15% tariffs across the board.

"...I knew it at the beginning, and it was indeed very tough, but we came to good conclusions with both sides," she noted.