The United States and European Union have reached a trade agreement that imposes a 15% tariff on most EU goods entering the U.S., averting a threatened 30% tariff and a potential trade war. In exchange, the EU has pledged to make massive purchases of American energy and military equipment, though analysts question whether these promises are realistic or enforceable. European leaders, especially in France and Germany, have criticized the deal as a humiliating concession, arguing that Europe received little in return and faces higher costs for key exports like cars and pharmaceuticals. The agreement has sparked political backlash across Europe, with concerns about rising consumer prices and the EU's diminished bargaining power. Despite the criticism, markets responded positively, relieved that a damaging trade war was avoided, but uncertainty remains over the long-term impact and implementation of the deal.
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