European Parliament Approves U.S. Trade Deal Cutting Tariffs on Machinery and Lobster While Keeping Most EU Tariffs in Place

The European Parliament voted on Tuesday, June 16, to eliminate customs duties on most American imports under a trade agreement reached last summer at President Trump’s golf course in Turnberry, Scotland. Lawmakers agreed to cut tariffs to zero on American industrial goods, including machinery and car parts, and on lobster.

The measure will also reduce levies on some American agricultural products.

In exchange, tariffs on many European goods exported to the United States will remain around 15 percent, and sometimes higher. Parts of the deal can be suspended if the United States does not meet its commitments. Other provisions will sunset after 2029 if they are not renewed.

President Trump had threatened “much higher” tariffs on European products if the deal was not finalized by July 4. In a Monday interview with The New York Post, he separately threatened 100 percent tariffs on French wine and Champagne over digital taxes.

“With this milestone, we are days away from fulfilling our commitment to remove tariffs on imports of US industrial goods,” Ursula von der Leyen, the president of the European Commission, posted after the vote.

European Union member states still must approve the agreement before it takes effect. Earlier votes were postponed over President Trump’s threats to annex Greenland and after the Supreme Court ruled that many of his tariffs were illegal. The vote occurred as European Union and national leaders gathered in Évian-les-Bains, France, with President Trump for a Group of 7 meeting.