The US-EU trade agreement announced on 28 July will reshape global trade as new tariffs, investment pledges and digital trade reforms come into force. The 15% US tariff on key EU exports will be offset by USD 750bn in energy purchases and USD 600bn in planned US investments – but how these policies will be implemented remains unclear.

New reciprocal tariffs and the removal of ‘De Minimis’ exemptions will raise costs for exporters, especially in the e-commerce sector. While Swedish companies now face new challenges, they can also tap into strategic openings in tech, energy, and manufacturing.

Current tariff overview:
Country/Coverage  Tariff  Date active  General exemptions
Mexico 25% (30%) 4 March (TBD)  Imports under USMCA
Canada 25% (35%) 4 March (TBD) Imports under USMCA
China 30% (TBD) 14 May (Nov 10) Product exemptions
De minimis shipments (under USD 800)

China: 54% or USD 100

Others: USD 80 – 200  

2 May

29 Aug

 USPS exempted; personal and gift exemptions
Reciprocal - Universal* 10-15% 7 Aug Product exemptions
Reciprocal - EU 15% 1 Aug Product exemptions
Reciprocal - Other countries 11%-50% 7 Aug  Product exemptions
Copper 50% 1 Aug  
Steel & aluminium 50% 4 June Specific exemptions
Automotive 25% 3 April TBD
Pharmaceuticals 20% (200%) TBD (2026)  
Semiconductors TBD TBD  
Aircraft and parts TBD TBD  

*Separate deals with Vietnam and UK apply, several more pending

Key takeaways: A new playing field in Transatlantic trade

Marking a pivotal shift in transatlantic economic relations, the US-EU trade agreement introduces a 15% US tariff on major European exports – including vehicles, pharmaceuticals and semiconductors – while eliminating EU tariffs on US industrial goods.

In return, the EU commits to USD 750bn in energy purchases and USD 600bn in US investments by 2028. These measures aim to reduce the US trade deficit and encourage reshoring, while expanding market access for American companies.

a critical question remains: how will governments ensure that private companies fulfill the USD 600bn investment pledge?

Tariffs as leverage

Countries with significant bilateral trade surpluses now face elevated tariffs – often 15% or more. Indonesia, for example, saw its initial 32% tariff reduced to 19% after agreeing to eliminate barriers to US exports. Japan and the EU followed suit, negotiating down to 15% by strengthening US market access and investment commitments.

These tariffs increasingly serve as negotiation tools rather than corrective measures. Smaller economies, including many in Africa, face disproportionate impacts despite minimal contributions to the US trade deficit.

Swedish companies need to carefully monitor these developments as tariffs may change based on political dynamics rather than economic drivers.

Scrapping of ‘De Minimis’ hits e-commerce

As of 30 July, the US has suspended all duty-free ‘De Minimis’ for all countries, removing the USD 800 exemption for low-value imports. While personal shipments under USD 200 and gifts under USD 100 remain exempt, all commercial goods now face duties.

For Swedish e-commerce companies, this means higher costs and more complex customs procedures. Postal shipments may incur duties ranging from USD 80-200 per item, depending on origin and classification. These changes could significantly affect pricing, margins, and competitiveness – particularly for SMEs.

Opportunities worth exploring

Despite new challenges, the US-EU trade deal has created new, strategic openings for Swedish companies – especially in tech, energy, manufacturing, and pharmaceuticals.

While the 15% tariff raises costs for traditional exporters, the deal also reduces non-tariff barriers and simplifies regulations. And this eases market entry for SMEs.

In a nutshell, this means that Swedish companies can benefit by localising production or investing in the US to bypass tariffs. Commitments to digital trade – including zero customs duties on electronic transmissions – will boost prospects for semiconductors, energy, and advanced manufacturing, paving the way for new exports and joint ventures.

What to watch this week
  • EU tariff implementation begins: Further details on how the US-EU trade will be enforced are expected.
  • IEEPA court ruling pending: Federal appeals court may rule on legality of Trump’s emergency tariff powers.
  •  Pharma ultimatum countdown: 60-day deadline looms for drugmakers to cut US prices or face 250% tariffs.
  • Copper tariff fallout begins: 50% Section 232 tariffs on copper products have come into force.
Get in touch

Business Sweden has extensive experience in tariff scenario analyses, localisation evaluations, and supplier assessments. If you need support in assessing your supply chain or navigating the impact of these tariffs on your US operations, please contact Johan Karlberg or Peter Ekdahl.

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