The White House unveiled details for its trade deal with the European Union (EU) on Thursday.
The Trump administration said its EU counterparts have agreed to eliminate all tariffs on industrial goods imported from the U.S. and to widen preferential market access to U.S. seafood and agricultural products.
In exchange, most EU exports — notably pharmaceuticals, semiconductors and lumber — will be taxed at 15 percent. The group of 27 member nations also agreed to ensure its companies invest $600 billion in the U.S. and to purchase at least $750 billion worth of U.S. energy over the next three years, according to the White House.
Under the agreement detailed Thursday, the EU has agreed to purchase at least $40 billion worth of U.S. artificial intelligence chips for its computing centers. It also allows for the 15 percent tariff on pharmaceuticals from European nations to be capped and not combined with other tariffs.
After the EU follows through on lowering tariffs on American goods, U.S. tariffs on cars and car parts will be lowered to 15 percent. Additional products expected to be subject to the 15 percent rate starting Sept. 1 include aircraft and aircraft parts, as well as chemical precursors.