Early Wednesday morning, 20 May, EU negotiators reached a provisional agreement on legislation to implement the EU-US trade deal established between US President Donald Trump and European Commission President Ursula von der Leyen at Turnberry, Scotland last summer. The trilogue negotiations lasted 5 hours.
What Was Agreed?
Under the Turnberry deal, the EU agreed to remove tariffs on US industrial goods and certain agriculture products, in return for the US capping tariffs on most European exports at 15%. However, the legislation now includes several safeguard mechanisms:
- A suspension clause: Allowing the Commission to suspend the deal if the US fails to reduce its steel and aluminum tariffs by the end of 2026.
- An automatic review mechanism: The Commission will report to the Parliament and Council on US steel compliance at the end of 2026.
- A safeguard investigation mechanism: Can be activated by the Commission on its own initiative or at the request of three member States, if imports seriously threaten domestic industries.
- A sunset clause: This will expire the agreement in December 2029.
What Was Dropped?
The territorial sovereignty clause was removed, which would have voided the deal if the US threatened EU territorial integrity. An EU official said that Member States wanted to exclude non-trade elements from the agreement.
What Happens Next?
The International Trade Committee (INTA) will organise an extraordinary committee to discuss and vote on the outcome of negotiations after having received the Coreper letter confirming Council support for the two texts. The extraordinary meeting will likely take place on Tuesday, 2 June 2026 at 9.00.
Following the vote in committee, the file can be tabled for a vote at the following plenary in June (15-18 June). It will then be the turn of Council to approve the agreed text.
Once the text has been formally approved by the co-legislators, the new legislation will enter into force on the day after its publication in the EU’s official journal. This could happen as soon as the end of June.
Some liberal and left-wing MEPs appear to remain hostile towards the deal. However, the EPP is supportive and, as the largest group in the Parliament, will be key in securing a majority in the vote. Meanwhile, EU Trade Commissioner Maroš Šefčovič and outgoing trade chief Sabine Weyand have both expressed confidence in ratification.
The provisional agreement reached last night is a political achievement, however, its durability rests on US compliance, which cannot be fully guaranteed.
