What's in the US-EU trade deal depends on who is doing the talking

What's in the US-EU trade deal depends on who is doing the talking

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  • What's in the US-EU trade deal depends on who is doing the talking</p>

<p>Ben WerschkulJuly 31, 2025 at 5:00 PM</p>

<p>President Trump and European Commission President Ursula von der Leyen shook hands Sunday over a trade agreement touted as being largely concluded, but days later, there are still plenty of disagreements about exactly what is in the pact.</p>

<p>Perhaps nowhere is the divide more stark than in the summaries published by each side — one from the White House and another from the European Commission. They depart in at least five areas, both in terms of the deal and the firmness of the commitments.</p>

<p>In just one example, the White House summary touts "historic structural reforms and strategic commitments," while the Europeans call the handshake deal "not legally binding," with more negotiations to come.</p>

<p>Trump quipped Sunday that a deal would be "the end of it" and that it would be a number of years "before we have to even discuss it again."</p>

<p>That is unlikely to be the case, which even Trump's aides acknowledge. The difference is likely to come to a head quickly as negotiations continue between the US and Europe over legally binding text and as trade watchers wait for a formal joint statement on the deal that the teams still hope to unveil this week.</p>

<p>A range of areas of disagreement</p>

<p>Clarity on at least one headline area is clear: an agreement for 15% tariffs on nearly all EU goods, including autos, semiconductors, and pharmaceuticals, that will be exempt from separate Trump plans there.</p>

<p>But the divides are evident once you go deeper.</p>

<p>Commerce Secretary Howard Lutnick acknowledged that a lot remains to be worked out when he told CNBC on Tuesday that "there's plenty of horse trading still to do," even as he argued that the "fundamentals" are set.</p>

<p>Read more: What Trump's tariffs mean for the economy and your wallet</p>

<p>Trump has also already set a pattern of fuzzy initial details on his deals, including a recent pact with Japan, but a comparison of the two documents summarizing the Europe deal underlines differences on many of the key aspects.</p>

<p>On the issue of new investments by Europe — $750 billion in US energy and additional corporate investments of $600 billion — the summary from the US side described them as firm commitments.</p>

<p>The European language is much less solid, saying it "intends to procure" additional energy and that European companies "have expressed interest" in additional investments.</p>

<p>European Commission President Ursula von der Leyen and President Trump shake hands following their meeting in Scotland on July 27. (Brendan Smialowski/AFP via Getty Images) (BRENDAN SMIALOWSKI via Getty Images)</p>

<p>More differences are seen on whether the deal will mean European markets are "totally open," as Trump has said.</p>

<p>The European summary of provisions around fish says they will allow "limited quantities" and only "certain non-sensitive" agricultural products.</p>

<p>Another highly touted part of the agreement from the US side is a provision for Europe to purchase military equipment. As Trump said on Sunday, "They're going to be purchasing hundreds of billions of dollars worth of military equipment."</p>

<p>That part isn't even mentioned in the European summary.</p>

<p>Ben Werschkul is a Washington correspondent for Yahoo Finance.</p>

<p>Click here for political news related to business and money policies that will shape tomorrow's stock prices</p>

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