Representatives from European Union member countries approved legislation Wednesday that would eliminate tariffs on numerous American products, according to an EU source familiar with the proceedings. The action is designed to prevent threatened higher U.S. tariffs on European automobiles and other exports.
The agreement originated from negotiations held at a Scottish golf resort owned by President Donald Trump last July. In that arrangement, European officials committed to eliminating tariffs on American industrial products and providing favorable treatment for U.S. agricultural and seafood exports, while accepting 15% American tariffs on most European goods.
Nearly ten months after reaching that initial agreement, European officials have not yet implemented their portion of the arrangement. This delay prompted Trump to warn he would impose “much higher” tariffs on European products if the EU fails to meet its obligations by July 4.
Diplomatic representatives from all 27 EU nations have now approved the legislation needed to implement the tariff reductions. This decision followed negotiations between EU government representatives and European Parliament members last week, which also established protective measures in case the Trump administration violates the trade agreement.
The European Parliament must still approve the legislation. The parliamentary trade committee plans to conduct a preliminary vote next Tuesday, with the full assembly expected to make a final decision in mid-June.
The protective provisions, advocated by EU legislators, include a clause terminating the trade agreement at the end of 2029 and language allowing the European Commission to halt portions of the deal if the United States fails to maintain 15% tariffs on washing machines, wind turbines and other products containing significant steel or aluminum. These items currently face 25% tariffs.
