The "experts" insisted that Trump's bid to reduce tariffs on US good while imposing a "baseline tariff" of 10% (or 15%) on the world was doomed to fail and would plunge us into a recession.
Trump (and Scott Bessent) believed that the US market was far too lucrative for any country to write off and that this gave the US huge leverage in negotiating access to our market.
The "experts" were, get this, wrong again.
President Donald Trump on Sunday announced a landmark trade deal with the European Union, locking in $750 billion in U.S. energy exports and setting a 15% tariff on EU imports. The deal keeps steel and aluminum duties in place while opening EU markets to U.S. goods, military equipment, and investment.
Key Details:
Trump unveiled the agreement alongside European Commission President Ursula von der Leyen at a joint press conference following a private meeting at Trump Turnberry in Scotland.
The EU committed to $750 billion in U.S. energy purchases and an additional $600 billion in direct investment into the American economy.
While the U.S. set a 15% baseline tariff on European imports, EU countries agreed to remove tariffs on American goods and ramp up military equipment purchases from the U.S., potentially reaching into the "hundreds of billions," Trump said.
Diving Deeper:
President Trump on Sunday announced a sweeping new trade agreement with the European Union that both sides say will reshape the economic relationship between the world's two largest markets. Speaking alongside European Commission President Ursula von der Leyen from Trump Turnberry in Scotland, the president said the deal marks a turning point after years of imbalance.
"The European countries were essentially closed to us," Trump said. "You weren't exactly taking our orders, you weren't exactly taking our agriculture... but now it's open."
Under the deal, the EU agreed to purchase $750 billion in American energy products, a major win for the U.S. oil and gas sector. Von der Leyen also confirmed that Europe would inject another $600 billion into the U.S. economy through investments on top of existing commitments. The agreement also sets a baseline 15% tariff on European imports into the U.S., including automobiles, while maintaining existing 50% duties on steel and aluminum.
When the tyrannical socialist Ursula von der Leyden, leader of the EU's parliament of traitors, was asked what concessions the US had made to Europe in exchange for Europe's generosity, she couldn't think of a single one:
Now that Japan and the EU have come to terms, the countries who have so far refused to buckle are in worse shape. Those coming late will get worse deals. The US can afford to lose access to the markets of a handful of countries. But they absolutely can't afford to lose access to the US market.
Hello everyone. How was your weekend?