US-EU trade deal wards off further escalation but will raise costs for companies, consumers

[BumRushDaShow]

Source: AP

Updated 10:31 PM EDT, July 27, 2025


FRANKFURT, Germany (AP) — President Donald Trump and European Commission President Ursula von der Leyen have announced a sweeping trade deal that imposes 15% tariffs on most European goods, warding off Trump’s threat of a 30% rate if no deal had been reached by Aug. 1.

The tariffs, or import taxes, paid when Americans buy European products could raise prices for U.S. consumers and dent profits for European companies and their partners who bring goods into the country. Here are some things to know about the trade deal between the United States and the European Union:

Many details remain to be decided

Trump and von der Leyen’s announcement, made during Trump’s visit to one of his golf courses in Scotland, leaves many details to be filled in. The headline figure is a 15% tariff rate on “the vast majority” of European goods brought into the U.S., including cars, computer chips and pharmaceuticals. It’s lower than the 20% Trump initially proposed, and lower than his threats of 50% and then 30%.

Von der Leyen said the two sides agreed on zero tariffs on both sides for a range of “strategic” goods: Aircraft and aircraft parts, certain chemicals, semiconductor equipment, certain agricultural products, and some natural resources and critical raw materials. Specifics were lacking.

Read more: https://apnews.com/article/eu-tariffs-united-states-15-prices-growth-31e52a6dda17f3b5d70475e1cd0002ca

[bucolic_frolic]

1. SOunds like it's a whack on consumerism.

Anything to harm people. ANYTHING!

[DFW]

2. This ignores one minor detail

The euro has gained about 15% on the dollar since the beginning if the year. So, even if US tariffs were all zero, all European goods already cost 15% higher in dollars than they cost in January. An additional 15% tariff (in cases where there previously was none) means a total 30% price increase to the American consumer since January. Some EU sellers will be squeezed if they have to lower their Euro prices in order to remain competitive.

[BumRushDaShow]

3. I did just see an article headline over the weekend

where the dollar apparently ticked up a bit but definitely not enough to offset.

[Miguelito Loveless]

4. The idiots

You don't appease tyrants. It NEVER ends well. They could have refused, and TACO would have TACOed.

[ananda]

6. Yeah, I really don't understand why they caved.

Maybe the western world is just full of cowards.

[Miguelito Loveless]

9. Each day

the best solution to humanity seems to be an asteroid.

[thought crime]

10. And we're more likely going to have a Zombie Apocalypse.

It just keeps getting worse.

[ananda]

14. I hear that.

I just don't have the words to express my utter
dismay at what this world has become.

[thought crime]

11. Kinda looks that way.

The EU democracy is also being strained from within, by far-right parties. Will Asia be any different?

[ananda]

13. Boy, the problems caused by colonialism are going to destroy us.

I've always thought the long history of white colonialism was
pure evil.

It's like a cancer spread across the world now.

[republianmushroom]

5. Says it all,.........The tariffs, or import taxes, paid when Americans

buy European products could raise prices for U.S. consumers...

[IbogaProject]

7. It will be cheaper to import a European car than make it here

Due to the steel tariffs. But the existing factories may have to import the parts. I guess there will be lots of "adjustments" (cuts) as this plays out.

[mdbl]

8. The sad thing is,,,,

even if we ever get back a government responsible to the people, these prices will never return to anywhere near where they were 4 years ago unless corporate and wall street greed is addressed head on. I don't see that happening in what's left of my lifetime.

[thought crime]

12. Hey!! We gotta hang in there and watch this show.

Politics sucks and so does a lot of other stuff, but there are some interesting things happening, too:

- Better communication among people of different languages and cultures.
- AI and Robots (could go either way)
- Wind Power!!!
- Pickleball??
- Fusion someday...
- Ozempic
- Lower birthrates.

And, there is always the possibility that Space Aliens will arrive with care packages for everyone (could go either way)

[mdbl]

15. Whatever happens, we'll all end up paying for it.