On 25 September 2025, the United States Federal Register published Notice 2025-18660, which implements several tariff-related elements foreseen in the Framework on an Agreement on Reciprocal, Fair and Balanced Trade (Framework Agreement between the United States and the European Union).
This step formalizes the commitments undertaken by both parties and represents significant progress towards greater predictability and stability in transatlantic trade relations.
Most Relevant Tariff Changes
Automotive Sector and Components (effective 1 August)
• The tariff on automobiles and automotive parts originating in the European Union is reduced from 27.5% to 15%.
• The measure, however, includes important nuances:
o Products that already had an MFN (Most-Favoured Nation) tariff equal to or higher than 15% will maintain that level.
o Products with an MFN tariff below 15% will see their tariff increased to reach that threshold, through an adjustment mechanism that adds the necessary difference.
This point is particularly relevant, as the overall reduction benefits the sector, but in certain specific cases it results in an upward harmonisation for products with lower tariffs, with the aim of establishing a uniform framework.
Aerospace Sector (effective 1 September)
• All aircraft and aircraft components will receive preferential tariff treatment, meaning that only the MFN tariff will apply.
• As a result, additional duties are eliminated, significantly improving the competitiveness of the European aerospace industry in the U.S. market.
Pharmaceutical Sector (effective 1 September)
• Generic medicines, as well as their active ingredients and chemical precursors, will benefit from the same preferential tariff treatment.
• This means they will be subject only to the MFN tariff, with no additional surcharges, facilitating exports and improving access for the European pharmaceutical industry to the U.S. market.
Natural Resources Not Available in the United States (effective 1 September)
• Raw materials such as cork—strategically important for sectors including wine production and industry—will also benefit from this liberalisation.
• In these cases, products will be subject solely to the MFN tariff, with any supplementary duties removed.
Implications for Transatlantic Trade Relations
The implementation of these provisions confirms the political will of both the European Union and the United States to advance towards a framework of reciprocal, fair and balanced trade, easing tensions accumulated in recent years.
From a European perspective, the entry into force of these measures provides several key benefits:
• Greater legal certainty and predictability for economic operators, who will be able to plan within a more stable tariff framework.
• A boost for strategic sectors (automotive, aerospace and pharmaceuticals), which represent a significant proportion of EU exports to the U.S.
• Facilitation of transatlantic value chains, thanks to lower tariff burdens on essential components and raw materials.
However, it should be noted that within the automotive sector, certain products with pre-existing tariffs below 15% will experience an increase, which may generate differentiated impacts within the sector.
Conclusion
The official publication in the Federal Register marks a milestone in the implementation of the Framework Agreement between the European Union and the United States. The reduction and harmonisation of tariffs represents a significant step towards a more balanced trade environment, fostering business competitiveness and creating new opportunities for European operators in the U.S. market.
At Feliu N&I, we will continue to closely monitor the development of these measures, assess their practical impact, and provide specialized advice to companies interested in taking advantage of the opportunities arising from this new regulatory landscape.
