Business deal hit: 15% tariff on European Union goods

The European Union and the US on Sunday agreed to a broad-brash trade deal, which sets 15% tariffs on most goods including cars, President Trump announced, at least temporarily to temporarily eliminate stressful negotiations of months with a block, which is the largest source of imports.Trump said that the European Union had agreed to buy US energy $ 750 billion and increase its investment in the US over $ 600 billion from current levels. He also said that the European Union would buy military equipment and no tariff will be imposed on some goods. Trump said that the 50% tariff he imposed on steel and aluminum globally, saying that “there is one thing around the world that it is.”“Other details of the treaty were not available immediately. The agreement “imbalance, but will enable trade on both sides,” European Commission Chairman Ursula von Der Leyen, the European Union Executive Branch, said she was sitting next to Trump because the leaders had announced.“We made it,” Trump said.Although the agreement seems to be an initial that leaves to solve many questions, it can bring a way to calm down to one of the world’s most important economic relationships and is a possibility of a growing business war. The European Union had last year calculated about $ 610 billion of $ 3.3 trillion in goods imported by the US.The tariff rate is more than 10% tax that was an angle for Europeans, and Trump applied to British goods. But the 15% of the 15% of the US-Japanese trade agreement reflects the main tariff rate of the trade agreement that was declared last Tuesday, and is lower than the 19 and 20% rates imposed on many Southeast Asian countries.The deal after the weeks of unexpected talks. Even after that announcement, von Der Leyen emphasized the importance of continuing negotiations and trying to reach a conversation deal. But the European Union also continued to work on the finishing touch on the plan to retaliate against Trump’s tariff, one can be implemented quickly when needed. Bringing down tariffs on European auto exports was a sticky point for European people, especially Germany, the largest European Union economy. The European vehicle manufacturer, who sent cars of 38.5 billion euros ($ 45BN) to the US last year, suffered victims under 27.5% tariffs imposed by Trump in April.Pharmaceutical tariff was another major issue. The US threatened last month that it could increase the tariff of Pharma – Europe’s biggest export in the US – up to 200%. This must have been crushing for the high tax industry. The government did not clarify what will happen to the tariff on pharmaceuticals.