The devil will be in the detailpublished at 20:33 British Summer Time

20:33 BST

Arunoday Mukharji
North America correspondent

This deal is being sold as a landmark moment in relations between the US and the EU. This was one negotiation the two would not have wished to see go beyond the 1 August deadline. And it has not been easy getting to this point.

Washington and the 27-nation bloc have both played hardball and neither was ready to give in easily which is why talks went down to the wire.

A lot of big numbers have been thrown around in terms of how much the EU will invest in the US, but the devil will be in the detail. Questions like exactly when those investments will be made, and in what areas, are for now, unanswered.

The business impact of the agreement will be judged in the weeks and months ahead and as the new agreement takes shape but for now, both sides are championing this as a win.

European Commission President Ursula von der Leyen has just been speaking to reporters about the trade deal.

"On the first of August, we would have been at 30%, and it would have been much more difficult to get down to 15%," she says.

The 15% tariff will be a "challenge", the EU chief says, but the deal "gives us access to the American markets".

Jonathan Josephs
Business reporter

This deal shows how serious President Trump is about renegotiating how the US, the world’s biggest economy, does business with everyone else.

Given the EU consists of 27 very different countries it has seemed one of the trickier trade deals to pull off but its happened just before the 1 August deadline.

It comes days after another major agreement was struck with Japan - there have also been deals with the UK, Vietnam and Indonesia.

The other big ones still on the table are with the three biggest US trade partners - Mexico, Canada and China.

But if the US president is in a deal making mood, then there could be more positive news for the global economy over the next 48 hours in terms of uncertainty being settled.

The US and China are holding their next trade talks in Stockholm tomorrow and Tuesday and there is some expectation that higher tariffs could be suspended for another 90 days.

A few days ago Trump said the US was “getting along with China very well” and implied that the major sticking point of rare earth metals exports had been overcome.

Donald Trump and Ursula von der Leyen spoke to reporters to announce the deal, with the US president saying he thinks its "the biggest deal ever made".

Image source, Getty Images

Italian Prime Minister Giorgia Meloni says it's positive that the EU has reached a deal with the US, but needs to see the details, Italy's Ansa news agency reports.

Italy is the EU's third largest economy.

Image source, Reuters

We can bring you some more details now about what we know about the trade deal. Trump said the EU will purchase $750bn (£558bn, €638bn) in US energy, in additional to increasing overall investment in the US by $600bn (£446bn, €510bn).

The US president hailed the agreement as the "biggest deal ever made" and adds that Washington is eyeing up agreements with "three to four other countries".

Jonathan Josephs
Business reporter

After weeks of tense negotiations between their top trade officials, the EU and US have finally struck a deal.

Ultimately it has taken their leaders to sit down face to face to get an agreement.

That’s something we’ve also seen with the other deals that President Trump has struck, his personal involvement is what has got them over the line – even when it looked like a deal might not happen.

That it has matters to both sides because so many businesses and jobs depend on what the EU calls “the world's largest bilateral trade and investment relationship”.

Both President Trump and European Commission President Ursula von der Leyen can paint this as something of a victory.

For the EU, the tariffs could have been worse at 15%, rather than the 30% that had been threatened – although it’s not as good as the UK’s 10% rate.

For the US that equates to the expectation of roughly $90bn of tariff money coming into government coffers – based on last year’s trade figures, plus there’s $600bn of investment now due to come into the country.

In remarks to reporters, Trump said the deal will be "great for cars", and will have a big impact on agriculture.

He added that he is "looking at three or four other countries" to strike deals with as well, but that they will most likely include some form of tariffs.

The President of the European Commission, Ursula von der Leyen, confirmed there would be US tariffs on goods from Europe of 15% across the board.

Washington had earlier threatened a tariff rate of 30%.

The agreement also includes promises of billions of dollars worth of investment and energy purchases from Brussels.

Image source, Reuters

President Trump announced the deal when speaking to reporters at his golf resort in Turnberry, Scotland, just after he came out of a brief meeting with Ursula von der Leyen.

"We have reached a deal. It's a good deal for everybody," Trump said.

"It's going to bring us closer together... it's a partnership in a sense," he added.

EU chief Ursula von der Leyen also hailed it as a "huge deal", which came after "tough negotiations".

US President Donald Trump has struck a trade deal with the European Union following meetings with the President of the European Commission Ursula von der Leyen.

Stay with us as we bring you the details.

Goods and services exchanged between the United States and European Union forms one of the world's largest trade relationships. They are each other's largest trade and investment partners.

Total trade in goods between the EU and US totalled an estimated $975.9bn (£751.4bn) in 2024. Together, they account for almost a third of global trade in goods and services.

Last year the US imported about $606bn (£451bn) in goods from the EU and exported around $370bn (£276bn).

That imbalance, or trade deficit, is a sticking point for Donald Trump. He says trade relationships like this mean the US is "losing".

Thomas Mackintosh
Live reporter

Image source, Getty Images

Welcome to our live coverage of crunch trade talks between the United States and European Union.

"It is a beautiful Sunday in Scotland," Donald Trump said as he started a wide-ranging news conference inside the ballroom of his Turnberry golf resort in Scotland.

Against the backdrop of the green fairways and bunkers, Trump sat next to European Commission President Ursula von der Leyen and said he "was not in a good mood".

Although the US president didn't elaborate on why his spirits were low, he said there was a "50:50" chance the pair would strike a trade deal, explaining "we have three or four sticking points".

"The EU has to be open to American products," Trump said at one point, while Von der Leyen added any deal would be about "fairness and rebalancing".

The pair have now gone into a private meeting. Stay with us as we bring you the latest.