The details of the agreement reached between the USA and the EU on Sunday are not yet known to the public in large part. But there is a framework that gives a hint of what applies.
What we know about the agreement is what came out after the meeting with von der Leyen and Trump. In broad strokes, we avoid the threat of 30-percent tariffs and that the tariffs will be 15 percent on most European goods to the USA, says Jonsson, an expert on international trade at Teknikföretagen, which accounts for a third of Sweden's exports.
Create new trade opportunities
He means that the agreement will make companies look beyond to compensate for what the agreement means in reduced profitability for companies.
We emphasize the importance of the EU taking measures to create new trade opportunities for industry in Europe and deepen cooperation with other countries. Both to support new markets and to create other alternatives.
Our members are integrated into global markets with investments and establishments abroad, and many threats of new extensive tariffs against several countries remain. Even trade barriers taken against other countries can lead to disruptions that limit the efficiency of both regional and global production networks.
The trade agreement's tariffs of 15 percent are several times higher than they were before the Trump administration took office. But the agreement means that a trade conflict of more fateful proportions is now averted.
Unclear how Swedish jobs are affected
In Sweden, exports to the USA employ over 130,000 Swedes. How those jobs are affected is unclear.
It's nothing I want to speculate about at the moment. We need concrete evidence in the details before we comment on it.
But on the other hand, the agreement means that an uncertain economic situation did not escalate.
The risk was that the trade conflict escalated and had consequences not only for Swedish industry but also at a global level, says Joel Jonsson.
Swedish business is on the same track. In a comment to TT, the interest organization writes that:
”At its core, it is still very unfortunate that the USA and the EU are in this situation. 15 percent is historically high tariffs but needs to be seen in the light of the alternative with a full-scale trade war.”
