Lone Cook, Associated Press
BRUSSELS (AP) – The European Union is working on estimates that the US will impose a 15% tariff on most EU exports from Friday, even if the two sides have not yet completed key documents that clarify how the contract will work.
US President Donald Trump and European Commission President Ursula von der Leyen reached the political agreement on Sunday, fulfilling the 15% obligation, which is imposed on about two-thirds of EU agricultural products worth around 380 billion euros ($434 billion).
As of Thursday, the EU and the US were still working on a joint statement laying out the terms of their understanding, said committee spokesman Olof Gill. Documents are not legally binding.
“The clear understanding of the European Union is that the US will implement a fully agreed 15% tariff cap,” Gill said. The Commission will negotiate terms of trade on behalf of the 27 EU member states.
Carveout has been agreed to a variety of “strategic” products, including aircraft and aircraft parts, certain chemicals, drug generics or natural resources.
“It is also a clear understanding that the US will implement a 15% ceiling exemption,” Gill said. He added: “The United States is making these commitments. It’s up to the United States to implement them now. The ball is in their court.”
European wine and spirit will not escape the 15% levy on Friday, but could be done later as negotiations continue for additional exemptions to the new tariff regime continue, he said.
Chris Swanger, CEO of the U.S. Distillation Spirits Council, said it was “very disappointing” that no agreement was reached. The US is the largest alcohol export market in the EU.
“It is important for President Trump to ensure permanent benefits for zero-zero tariffs on his spirit with the European Union.
Before the meeting last Sunday, Trump had threatened the block with a 30% tariff. Over the past three months, the committee has drawn retaliatory measures worth hundreds of billions of euros to enact if consultations fail.
These measures are expected to come into effect on August 7th, but Gill said they’ll freeze “if everything goes as expected.”
“If you reach a deal, you don’t need a retaliation fee,” he said.
Original issue: July 31, 2025, 1:18pm EDT
