Von der Leyen: EU–US trade pact for averting escalation, easing risks for euro, expor

[Forex News]

EU chief von der Leyen defended the bloc’s trade pact with Washington as “strong, if not perfect,” saying it prevents a damaging transatlantic trade war. She highlighted that Europe’s single 15% tariff rate gives exporters relatively favourable U.S. access, even as Brussels pushes for further cuts.

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European Commission President Ursula von der Leyen defended the EU’s recent trade deal with the United States, saying it provides stability and prevents a damaging trade war. Writing in Germany’s Frankfurter Allgemeine Zeitung, she argued that a confrontation with Washington would have only benefitted Russia and China, while harming European workers, consumers, and industry.

Von der Leyen acknowledged the pact isn’t perfect but said its 15% “all inclusive” tariff structure offers European firms better market access than what other U.S. partners face. The agreement, struck with President Trump in Scotland last month, has faced criticism within Europe from lawmakers and industry groups, though both sides have begun steps to formalize it.

The deal includes reductions in U.S. tariffs on European cars and may open the way for discounts on steel and aluminum. EU officials still want cuts on wine and spirits, which were left out. German Chancellor Friedrich Merz also backed the accord, noting that while tariffs will weigh on Germany’s economy, the outcome is preferable to a full-blown trade war.

This article was written by Eamonn Sheridan at investinglive.com.

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