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After months of negotiation, President Donald Trump said on July 27 that he reached a trade deal with the European Union.

"We have good news. We have a deal," Trump said on Sunday during his trip to Scotland.

In a preview of the deal, Trump said the EU will buy $750 billion worth of energy from the United States, and tariffs on EU imports into America, including automobiles, will fall to 15 percent.

The EU will also invest an additional $600 billion beyond its current investments in the United States and will purchase U.S. military equipment.

After the press conference concluded with European Commission President Ursula von der Leyen in Turnberry, Scotland, members of both delegations shook hands and clapped.

Trump said the two sides “wanted to make a deal.”

“This started months ago, this negotiation, so we knew what we were getting into,” Trump said, adding that the agreement was “satisfactory” for both the EU and the United States.

“I think it's going to be great for both,” Trump added.

He said it’s a “giant deal with lots of countries” due to the EU’s 27 member states, and acknowledged that it’s “not easy” reaching a unified agreement among them all.

Trump called the new EU investments “substantial.”

“All of the countries will be opened up to trade with the United States at zero tariff,” he added. “And they're agreeing to purchase a vast amount of military equipment. We don't know what that number is, but the good news is we make the best military equipment in the world, so [you’ve] sort of got to do that, until somebody tops us, which is not going to happen.”

Automobile tariffs will also be capped at 15 percent. However, steel and aluminum tariffs will “stay the way [they are],” as “that’s a worldwide thing,” Trump said.

Commerce Secretary Howard Lutnick said that within two weeks, the United States will give an update on its plans with microchip tariffs, suggesting that it was a key reason for the EU wanting to negotiate with Trump.

“I'll let you wait for the two weeks until you get to announce your plan,” Lutnick said to Trump. “But we are going to be bringing chip manufacturing back to the United States.”

On Friday, Trump said he believed there was a 50-50 chance of America reaching a trade deal with the EU by his Aug. 1 deadline.

The United States and the 27-member trading bloc had been negotiating since early July to strike a trade deal. Trump had imposed baseline tariffs on the EU in April, prior to pausing them for 90 days to negotiate, but had recently threatened to raise them to 30 percent if the trading bloc did not reach an agreement with his administration by Aug. 1.

On July 24, the EU member states voted to approve $109 billion in counter-tariffs on American goods, including soybeans, almonds, cars, and pharmaceuticals.

Those tariffs were scheduled to take effect on Aug. 7, prior to cementing Sunday’s deal.

Recently, the Trump administration has struck tentative trade agreements with Japan, China, Indonesia, the Philippines, and the United Kingdom.

The deal with Japan includes a 15 percent tariff on Japanese imports and a commitment from Japan to open its markets to American goods and invest $550 billion in the United States.

Trump arrived in Glasgow on Friday in what was a planned five-day retreat to discuss bilateral trade negotiations and other talks with the leaders of the United Kingdom, Scotland, and the EU.

<em>Austin Alonzo and Travis Gillmore contributed to this report.</em>

<em>From <a href="https://www.theepochtimes.com/us/trump-reaches-trade-deal-with-european-union-5893008">The Epoch Times</a></em>

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