(TNND) — President Donald Trump announced a sweeping new trade deal between the United States and the European Union on Sunday.
The bloc has agreed to purchase $750 billion of American energy and invest $600 billion into the U.S. beyond current levels, while the U.S. imposes a 15% tariff on most goods being imported from the EU.
Trump revealed the deal shortly after meeting with European Union Commission President Ursula von der Leyen at Trump Turnberry resort in Scotland.
“I think it’s the biggest deal ever made,” Trump said.
“I think we both wanted to make a deal,” the president added. “It’s going to bring us closer together. I think this deal will bring us very close together.”
Part of the agreement also involves the EU to “purchase a vast amount of military equipment” from the US. Trump noted that “We don’t know what that number is” yet.
After making the deal, Von der Leyen and Trump both shook hands.
“The starting point was an imbalance — a surplus on our side and a deficit on the US side,” Von der Leyen said when asked about Trump’s concessions. “And we wanted to rebalance the trade relation, and we wanted to do it in a way that trade goes on between the two of us across the Atlantic.”
Previously, Trump had threatened to place a 30% tariff rate against the EU if it failed to reach a deal with the US.
Von der Leyen had gone to Scotland with the purpose of meeting with Trump and working out a trade deal. Both parties put the odds of coming to an agreement at 50% an hour before announcing the deal.
Before announcing the deal, Trump said that “pharmaceuticals won’t be part” of the deal as his administration is creating a more aggressive approach in that sector.
During their post-meeting press conference, Von der Leyen called Trump a “tough negotiator and dealmaker.” Trump interjected, adding “and fair.”
During a gaggle with reporters on Sunday, Trump said he has no intention of delaying the Aug. 1 tariffs deadline a third time.
So far, Trump has made preliminary tariff deals with the UK, Vietnam, Japan, Indonesia and the Philippines.
He also has a variety of tariffs in place now, including a 25% rate on automobiles, aluminum and steel, as well as 25% on imports from Canada and Mexico.
Trump has also reached a tariff truce with China and has given Beijing until Aug. 12 to cut a deal.
Earlier this month, the US president gave Moscow an ultimatum to create a peace deal with Ukraine amid their ongoing war or else face 100% secondary tariffs on Russian energy.
