EU-US Trade Deal Clears Final Legislative Hurdle — With Safeguards Intact
The EU gave final Council approval on June 25 to legislation implementing the July 2025 EU-US tariff framework, meeting Trump's July 4 deadline by days. Under the deal, the EU removes import duties on all U.S. industrial goods and grants preferential access to U.S. seafood and agricultural products; the U.S. caps tariffs on most EU exports at 15%, covering autos, pharmaceuticals, and semiconductor
BY FRONTIER DESK · JUNE 29, 2026 · 1 MIN READ
The EU gave final Council approval on June 25 to legislation implementing the July 2025 EU-US tariff framework, meeting Trump's July 4 deadline by days. Under the deal, the EU removes import duties on all U.S. industrial goods and grants preferential access to U.S. seafood and agricultural products; the U.S. caps tariffs on most EU exports at 15%, covering autos, pharmaceuticals, and semiconductors. However, the EU embedded three protective mechanisms: a sunset clause expiring December 31, 2029; an enhanced suspension authority allowing the Commission to reinstate previous tariffs if the U.S. breaches terms (including on steel and aluminum, where the 15% threshold is not yet met); and a Most Favoured Nation carve-out for aircraft, chemicals, and generics. For cross-border transactional teams, the deal provides 3.5 years of planning stability on tariff exposure for EU-US trade — but the steel/aluminum overhang and the December 2026 triggering condition mean the compliance window remains active, not closed.