The Council of the European Union and the European Parliament have reached a provisional agreement on the implementation of tariff measures linked to the EU-US Joint Statement, in a step aimed at stabilising transatlantic trade relations.
The agreement covers two regulations proposed by the European Commission on 28 August 2025. The first removes remaining tariffs on US industrial goods and grants preferential market access for certain seafood and non-sensitive agricultural products from the United States. The second extends the suspension of tariffs on lobster imports, with retroactive effect from 1 August 2025.
Safeguards for European producers
A key part of the deal is a strengthened safeguard mechanism. If three or more member states, European industry or trade unions submit a substantiated request, the Commission may launch an examination procedure to assess whether European producers face serious harm.
The agreement also introduces a sunset clause at the end of 2029 and strengthens the conditions under which the regulations may be partially or fully suspended if the United States fails to meet its commitments.
On steel and aluminium, the Commission will be empowered to suspend concessions if the US continues to apply tariffs above 15% by 31 December 2026.
“The EU and the US share the largest and most integrated economic relationship in the world. Maintaining a stable, predictable and balanced transatlantic partnership serves the interests of both sides. Today, the European Union is honouring its commitments. We are, and will remain, a reliable partner in global trade. We have secured strong guarantees in our agreement to protect European interests, businesses and workers,” said Cyprus Minister of Energy, Commerce and Industry Michalis Damianou, speaking on behalf of the Council Presidency.
Cyprus’ Permanent Representative to the EU, Christina Rafti, led the negotiations on behalf of the Cypriot Presidency.
Von der Leyen welcomes agreement
European Commission President Ursula von der Leyen welcomed the agreement reached by Parliament and the Council on reducing tariffs for US industrial exports to the EU.
“A deal is a deal, and the EU honours its commitments,” she said in a post on X early on Wednesday.
“This means that we will soon implement our part of the EU-US Joint Statement, as promised,” she added, calling on the co-legislators to move quickly and complete the process.
“Together, we can ensure stable, predictable, balanced and mutually beneficial transatlantic trade,” von der Leyen said.
Bernd Lange, the European Parliament’s lead negotiator and chair of the international trade committee, described the outcome as an important success for Parliament.
“The European Commission’s proposal was improved in key areas,” he said, adding that demands for a stronger safety net had been taken into account. Lange said the agreement had avoided an initial “blind flight” and that clear guiding principles had been added, allowing Parliament to support the deal.
EU Trade Commissioner Maroš Šefčovič also welcomed the outcome after leaving the negotiating room at the European Parliament in Strasbourg.
“The EU has shown once again that we are a reliable trade partner that honours its commitments,” he said.
Next steps
The EU-US trade relationship accounts for almost 30% of global trade in goods and services and 43% of global GDP. Bilateral trade has doubled over the past decade, reaching around €1.7 trillion in 2024.
According to the Council, the relationship is also supported by major mutual investment. In 2023, EU and US companies held investments worth more than €4.7 trillion in each other’s markets.
The agreement must now be formally endorsed and adopted by both institutions before being published in the Official Journal of the European Union. The regulations will enter into force the day after publication.
Source: CNA
