The European Union and Donald Trump have just concluded a historic, but controversial agreement. Objective displayed: redefine transatlantic exchanges. But behind the official announcement, the whole European economy is shaking. All the details in the following paragraphs!
In short
- Trump imposes a 15 % tax on key sectors of the European economy.
- The EU undertakes to buy $ 750 billion in American energies, weakening its economic sovereignty.
A European economy struck at the heart of its strategic sectors
Sunday July 28, Turnberry's said agreement imposes a 15 % tax on a wide range of European products exported to the United States. More explicitly, this protectionist turn directly concerns strategic sectors such as:
- the automobile,
- luxury,
- the pharmacy,
- Cosmetics.
For example, German manufacturers will now have to deal with a 15 %customs barrier. They have undergone 27.5 % customs duties since April. On the luxury side, LVMH and Kering try to bypass the effects of this price increase by relocating part of the production on American soil. On the other hand, exports of wines and spirits remain in an area of uncertainty. These sectors weigh 8 billion euros per year.
An agreement to blurred contours but to the massive impact
The transatlantic economy is also shaken by the commitment of the EU to Buy for $ 750 billion in fossil fuelsincluding American shale gas. Difficult to applicable by the European Commission, these promises are likely to worsen the trade balance. But not only! They could also contradict climatic objectives, as pointed out The agreement concluded between Ursula von der Leyen and Donald Trump on customs duties.
Another sensitive point: the end of the customs exemption for drugs, which alone represent 22.5 % of European exports. For many observers, this is a time bomb for European trade policy.
In total, between forced imports, sectoral taxation and industrial reorientations, this agreement brings the European economy into A new era of strategic dependence.
One thing remains safe, however: the agreement between Donald Trump and the European Union illustrates a deep recomposition of the world economy. It is clear that international trade is now played on unequal arms.
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