European Commission President Ursula von der Leyen has defended the new trade agreement between the European Union (EU) and the United States, calling it a deal that ensures stability and prevents a damaging trade war with Washington.
Avoiding a Trade War
In an article for the German newspaper Frankfurter Allgemeine Zeitung, von der Leyen warned that a full-blown EU-US trade conflict would have been welcomed by Russia and China.
“Instead of escalating, we reached a strong, though not flawless deal,” she wrote, adding that retaliatory tariffs could have created serious economic risks for workers, consumers, and industries across Europe.
Key Advantage for European Businesses
Unlike other US trade partners, who face new base tariffs on top of existing duties, the EU secured a single 15% tariff.
Von der Leyen stressed that this “all-inclusive” rate gives European companies a competitive edge, making it easier for their goods to enter the American market under more favorable conditions.
Details of the Agreement
The preliminary pact was reached last month during talks between von der Leyen and US President Donald Trump in Scotland.
- The deal outlines plans to reduce tariffs on European automobiles.
- It opens the door for future negotiations on lowering duties for steel and aluminum.
- However, EU negotiators failed to secure exemptions on wine and spirits, though talks are expected to continue.
Mixed Reactions in Europe
The agreement has faced criticism from European lawmakers and industry groups, who argue that the terms may not go far enough to protect European exporters.
Meanwhile, German Chancellor Friedrich Merz also defended the deal, noting that although tariffs will put pressure on Germany’s economy, the outcome is still far better than a destructive trade war with Washington.
Conclusion
Von der Leyen emphasized that the agreement is not perfect but is a strategic win for Europe, avoiding a major trade dispute while giving EU companies long-term access to the American market.