Yesterday evening, a long-awaited trade agreement was signed between the United States and the European Union. Negotiations lasted for several years and were repeatedly delayed, mainly because of US tariffs on European goods, especially German cars. This event is significant, as it involves two of the world’s leading economies.
Under the agreement, the basic tariff rate between the US and EU is set at 15%. In the future, the possibility of tariff-free trade is being discussed, although a timeline has not been specified. The EU has also agreed to purchase US energy resources (including liquefied natural gas, oil, and coal) worth $750 billion, as well as US military equipment valued at hundreds of billions of dollars. Additionally, the EU will invest around $600 billion in the US. The total value of investments and purchases could exceed one trillion dollars.
Analysts note that the agreement could help displace Russia from the EU energy market, encouraging European countries to reduce their purchases of Russian energy carriers. There is also the potential for the introduction of higher tariffs on countries that continue to buy Russian energy, primarily China, India, and Brazil.
Experts emphasize that this deal may also affect the future of the World Trade Organization (WTO). There is a growing trend of bilateral and multilateral agreements, which may undermine universal trade rules. The agreement reflects the intention of the US and EU to act together in confronting China economically and maintaining Western global leadership.
It is expected that the coming months will show how the new agreement works in practice and whether it will change the world economy and political balance.
