EU-US trade deal live updates - 15 per cent tariffs agreed and trade war averted
This is five per cent higher than the current rate, however, it is half of the 30 per cent that US President Donald Trump originally threatened.
While it will take time for officials to work out the full impact of the deal, it is being widely welcomed as a bigger trade war has been averted.
European Commission President Ursula von der Leyen said 15 per cent is 'not to be underestimated' but insisted 'it's the best we could get'.
Taoiseach Micheál Martin has insisted the deal is good for businesses, investors and consumers and will protect many jobs in Ireland.
He said: 'The agreement achieved in Scotland between Presidents von der Leyen and Trump is very welcome. It brings clarity and predictability to the trading relationship between the EU and the US – the biggest in the world."
The biggest worry is for the pharmaceutical sector, which isn't included in the deal struck between President Trump and European Commission President Ursula von der Leyen on Sunday.
While there is currently zero per cent on EU pharmaceutical imports to the US, Enterprise Minister Peter Burke says future tariffs on the sector 'would not increase beyond 15 per cent'.
Follow live updates below or check out the latest headlines on our homepage.
11:02 Ciara O'Loughlin
The biggest worry is for the pharmaceutical sector, which isn't included in the deal struck between President Trump and European Commission President Ursula von der Leyen on Sunday.
While there is currently zero per cent on EU pharmaceutical imports to the US, Enterprise Minister Peter Burke says future tariffs on the sector 'would not increase beyond 15 per cent'.
He told RTÉ's Morning Ireland: 'Pharmaceuticals are very complex. A lot of the product that is exported over to the US is not a complete product.
'Almost 70pc of it is components of the final product that will come together and that's why we do need to ensure that we have a very keen rate, to ensure we incentivise innovation in that sector, because that's so important for the global economy.
'We've about 100,000 employees in Ireland, 130 billion in exports in the life sciences sector, and the Government will be bringing forward a separate life sciences strategy later on this year, which will be key in continuing the investment and offering a very competitive proposition from Ireland's perspective.'
11:01 Ciara O'Loughlin
Taoiseach Micheál Martin has insisted the deal is good for businesses, investors and consumers and will protect many jobs in Ireland.
He said: 'The agreement achieved in Scotland between Presidents von der Leyen and Trump is very welcome. It brings clarity and predictability to the trading relationship between the EU and the US – the biggest in the world."
The Taoiseach added that the government will now study the details of the agreement "in the weeks and months ahead'.
He added: ''It does mean that there will now be higher tariffs than there have been and this will have an impact on trade between the EU and the US, making it more expensive and more challenging.
'However, it also creates a new era of stability that can hopefully contribute to a growing and deepening relationship between the EU and the US, which is important not just for the EU and the US, but for the global economy.
'Given the very real risk that existed for escalation and for the imposition of punitively high tariffs, this news will be welcomed by many.'
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