Today, the U.S. and the EU have concluded a framework agreement that covers trade-related areas, as well as broader discussions on regulatory and economic policies.

With regard to tariffs, the EU will eliminate tariffs on all U.S. industrial goods and provide preferential market access for U.S. seafood and agricultural products. Additionally, the EU committed not to apply tariffs on U.S. live, frozen, and processed lobster products.

In its turn, the U.S. will apply either the MFN tariff rate or a 15% tariff on EU goods. As of September 1, the MFN rate will apply to unavailable natural resources (including cork), all aircraft and aircraft parts, generic pharmaceuticals, and their ingredients and chemical precursors. Tariffs on pharmaceuticals, semiconductors, and lumber will not exceed 15%. Furthermore, contingent upon the EU’s legislative actions to eliminate tariffs on U.S. products, the U.S. will apply a 15% tariff on EU automobiles and automobile parts. A reduced tariff will not apply to steel, aluminum, and their derivative products, though both parties agreed to secure supply chains by applying tariff-rate quotas. Further discussions on tariffs for other products are planned.

Apart from tariff agreements, the EU committed to purchasing a certain value of U.S. products through 2028, including USD 750 billion worth of U.S. energy products, USD 40 billion worth of U.S. AI chips, and USD 600 billion in investments from European companies into various U.S. industries.

Moreover, the counterparts agreed to work on the elimination of non-tariff barriers. The EU will work towards eliminating non-tariff barriers, including mutual recognition of standards in the automobile sector and streamlining sanitary certificate requirements for pork and dairy products.

The EU should address U.S. concerns with regard to the European regulatory burdens, including the EU Deforestation Regulation, Carbon Border Adjustment Mechanism (CBAM), and the Corporate Sustainability Due Diligence Directive (CSDDD) and the Corporate Sustainability Reporting Directive (CSRD). The EU actions should reduce administrative burden and facilitate trade.

In digital sectors, the U.S. and EU agreed to negotiate a mutual recognition agreement on cybersecurity and address constraints to digital trade. The EU confirmed it will not adopt network usage fees. Both parties will not impose customs duties on electronic transmissions and will support the WTO moratorium on such duties, seeking a permanent multilateral commitment. The EU will hold consultation with the U.S. interested parties on digitalization of trade procedures and the implementation of proposed EU Customs Reform legislation.

Regarding third countries, both agreed to intensify efforts against export restrictions on critical minerals and similar resources. They will address non-market policies of third parties and cooperate on investment reviews, export controls, and duty evasion.

Therefore, the Framework Agreement extends beyond tariffs and lays the foundation for broader economic and trade cooperation between the U.S. and EU. It remains to be seen how the agreement will be implemented, especially in areas lacking firm commitments.

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Photo of Vassilis Akritidis Vassilis Akritidis

To maximize trade-related benefits, get customs advice, or ensure robust representation before the European Commission and EU courts in trade and EU matters, clients turn to Vassilis Akritidis and his team for clear advice and dedication to a positive result. Beyond disputes, proactive

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To maximize trade-related benefits, get customs advice, or ensure robust representation before the European Commission and EU courts in trade and EU matters, clients turn to Vassilis Akritidis and his team for clear advice and dedication to a positive result. Beyond disputes, proactive compliance and proper corporate governance are essential for success. Vassilis organizes compliance training programs for executives to ensure smooth and cost-effective navigation through the complex web of EU and World Trade Organization regulations.

Vassilis has been practicing EU and international trade law in Brussels since 1991. He qualified in Athens as a maritime lawyer and then pursued graduate studies in European law at the Institute of European Studies in Brussels. An internship at the State Aid Directorate-General for Competition convinced Vassilis that EU and supranational law are hugely interesting. He started as an EU competition and public procurement lawyer and over the years focused increasingly on international trade and WTO law. Vassilis is regularly quoted by renowned legal directories as an expert in these fields.

Vassilis helps his clients win trade investigations, achieve and improve market access, maximize trade benefits, and be trade-compliant wherever they operate. He advises and represents private clients, professional associations, and governments in trade defense investigations (anti-dumping, anti-subsidy, safeguards), customs investigations and litigation, trade sanctions/export controls, and EU anti-fraud investigations led by the European Anti-Fraud Office and the European Public Prosecutor’s Office. Vassilis also advises on EU State aid and EU internal market and public procurement.

Vassilis has worked for clients active in the steel, chemicals, high-tech, transport, defense and aerospace, automotive, and agriculture/food sectors. He represents clients before the EC and other non-EU trade defense authorities.

Should things get contentious, Vassilis is an experienced litigator, representing parties before EU courts in Luxembourg as well as national customs and administrative tribunals.

Vassilis works with his colleagues at Crowell Global Advisors, our global government relations, public policy, and public affairs affiliate, in matters involving EU public policy and lobbying.

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Photo of Daniel Cannistra Daniel Cannistra

Dan Cannistra is a partner in the firm’s Washington, D.C. office. His practice focuses on legislative, executive and regulatory representation of domestic and international clients on a broad spectrum of international trade matters. Dan has represented domestic and foreign companies in over 75

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Dan Cannistra is a partner in the firm’s Washington, D.C. office. His practice focuses on legislative, executive and regulatory representation of domestic and international clients on a broad spectrum of international trade matters. Dan has represented domestic and foreign companies in over 75 U.S. antidumping and countervailing duty cases before the U.S. Department of Commerce and the U.S. International Trade Commission under the Tariff Act of 1930. Many of these matters involved appeals to the U.S. Court of International Trade, the U.S. Court of Appeals for the Federal Circuit, binational panels under the North American Free Trade Agreement (NAFTA), and dispute settlement proceedings before the World Trade Organization (WTO). Dan has also represented clients in antidumping proceedings in the European Union, Canada, Mexico, Brazil, India, Thailand, Singapore, Guatemala and Taiwan.

Prior to joining Crowell & Moring, Dan was a director in a national accounting firm providing customs and international trade guidance to multinational clients related to the supply and distribution of goods and services across international borders. Areas of specialization included antidumping and countervailing duties and policy, trade remedies and litigation, free trade agreements and negotiations, classification and valuation, and international trade and development.

Dan’s government appointments include service to U.S. Trade Representative on the roster of international trade practitioners to resolve antidumping disputes involving NAFTA members. For the European Commission, Dan provided advice and training on international trade and antidumping methodology and practice. In addition, Dan has served as an international trade consultant to the governments of Guatemala and Singapore, providing technical advice to these governments on the application of international trade regulations consistent with international law and World Trade Organization agreements and the General Agreement on Tariffs and Trade, Agreement on Antidumping.

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