The United States and the European Union clarify the definitions of cars, pharmaceutical preparations, and more

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US President Donald Trump is walking with European Commission President Ursula von der Lin, where he announces a trade agreement with the European Union at Trump Turner Golf on July 27, 2025 in Turnberry, Scotland. we

Andrew Harnik Getty Images News | Gety pictures

On Thursday, the US Federation and the European Union revealed new details about their trade framework, including hot and expected pharmaceutical tariffs.

After weeks of hot negotiation, Brussels and Washington finally arrived at a Trade Agreement At the end of last month, 15 % of the customs tariff for European Union exports to the United States is determined by the deal, the European Union is also committed buying 750 billion dollars in US energy and Investment At least 600 billion dollars in the United States

Many political leaders and trade leaders in Europe at the time Expresses fears About an unbalanced deal. Several questions have been not answered, including the tariff rate, which will apply to some of the goods that US President Donald Trump has arrived in sectoral duties.

US President Donald Trump (PBUH) and European Commission President Ursula von der Lin (L) speaks to the press after approving a trade agreement between the economy after their meeting, in Turnberry south of West Scotland on July 27, 2025.

Europe relates to an “unbalanced” American commercial deal

The announcement of Thursday at the last time gave more details at a time when there are still many other commercial partners to wait and negotiate, for similar clarity on their commercial deals with the United States

Wood, technology and organization

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The statement also included visions about the pledges to purchase energy and investment in the European Union, which previously raised questions about its possible feasibility and repercussions if the obligations are not fulfilled.

A senior administration official indicated that the latest announcement of the planned spending numbers planned by the European Union, including artificial intelligence chips, energy and broader investments in the United States, but described it as intended and expected, rather than guaranteed obligations.

A statement on Thursday indicated that the European Union plans “greatly increase” from the purchase of American military and defense equipment, even with Europe’s commitment to developing its defensive capabilities.

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It is worth noting that the recent agreement does not make changes in terms of the European Union’s digital services law, which includes regulations for major technology companies, and has long been a point of disagreement in commercial talks with Trump.

Pharma

The drug sector in Europe – the Supreme Source of the United States for Medicines – will witness the definitions of up to 15 %. It is important that the rate will not accumulate above other definitions at the European Union level.

From September 1, the Trump administration also agreed to apply the Politics of the MFN drugs only to public medicines. The guidance aims to reduce the prices of drugs in the United States by linking them to low prices that are usually paid by other developed countries.

Once again in April, the Trump administration launched the so -called section 232 investigation On pharmaceutical products to check the impact of imports on national security. In recent weeks, Trump has threatened Fees up to 250 % In the pharmaceutical sector and send Warning The main companies demanding the reduction of medicines in the United States.

The White House leader has long different “My regret” Pricing practices, with companies simultaneously urged their manufacturing operations in an attempt to support local production.

This has led to a wave of American investment obligations in recent months, including Novartis, Astrazneca and Roche, as well as NOVO Nordisk and Eli Lilly.

Cars

The United States and the European Union said on Thursday that they had agreed to a 15 % conditional tariff for European auto cars and auto parts heading to the United States – but only after Brussels submitted legislation to reduce its industrial duties, according to a senior management official.

The official added that the mere introduction of European Union legislation to reduce the rate of industrial tariffs will be sufficient to start this comparison.

“With regard to cars, the United States and the European Union, it intends to accept and provide mutual recognition of each other’s standards,” the United States and the European Union said in a joint statement published on Thursday.

According to the terms of the trade framework that was struck in late July, the European Union said it would lead to the elimination of “already low” duties on industrial goods from the United States

Trump spoke late last month, Trump praised the framework agreement that was initially unveiled as the largest trade deal ever and one promised to be “wonderful for cars.”

The possibility of a 15 % tariff rate on cars and car parts is a significant decrease from the US President’s threat to impose a 30 % fee. It is almost almost the current customs tariff in the car sector in Europe from 27.5 %.

Industry groups have already expressed deep concern about the costs related to the reality of customs tariffs.

The German Automobile Industry Association (VDA), which represents more than 620 companies participating in the German auto sector, warned of the American tariff by 15 % on car products, “German car companies cost billions annually annually and put a burden on them in the midst of their transformation.”



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