European Union and European Parliament reach agreement on trade relations with the US

The European Union and the European Parliament have reached a provisional agreement regarding trade relations with the United States, facilitated during the Cypriot Presidency of the Council of the EU. This agreement implements tariff reductions outlined in the US-EU Joint Statement, also known as the Turnberry agreement, following proposals from the European Commission on August 28, 2025. The deal involves two regulations: one eliminates remaining tariffs on US industrial goods and improves market access for specific seafood and non-sensitive agricultural products, while the second extends the suspension of tariffs on lobster imports, retroactively effective from August 1, 2025. A key component is a safeguard mechanism allowing the Commission to review potential serious harm to European producers upon requests from member states, industry, or labor unions. Furthermore, the agreement includes a sunset clause ending in late 2029 and provisions for the suspension of concessions if the US fails to uphold its commitments or continues applying tariffs over 15% on steel and aluminum past December 31, 2026. European Commission President Ursula von der Leyen expressed support for the deal, which now awaits formal ratification by both EU institutions before its publication in the Official Journal.