The new framework trade deal between the US and EU appears to be a rare agreement that leaves almost every party involved dissatisfied. From European leaders and industries to American spirits producers, the consensus is one of disappointment and reluctant acceptance, highlighting the deep-seated friction in transatlantic trade.
In Europe, the deal is viewed as a concession forced by US pressure. French and Spanish leaders have publicly voiced their lack of enthusiasm, while key sectors feel betrayed. The French wine industry, a symbol of European exports, is “hugely disappointed” at being excluded from tariff exemptions, facing a 15% duty in its biggest market.
Meanwhile, Italian businesses predict a massive €22.6 billion blow to their exports, calling the deal “unfair.” Even the primary beneficiaries, the German automakers, remain in a precarious position, with tariff relief from a 27.5% rate dependent on the uncertain speed of EU politics.
Across the Atlantic, the Distilled Spirits Council of the United States also condemned the pact. It lamented the failure to achieve tariff-free trade, predicting the new 15% tariff on EU spirits would cost over a billion dollars in retail sales and 12,000 American jobs. This widespread discontent suggests the deal is a temporary truce, not a lasting solution.