The just concluded trade deal between the United States and the European Union marks a significant moment in the on-going realignment of global commerce. While the agreement avoids the steep escalation of a trade war, it reflects a broader shift in how economic diplomacy is being conducted ~ less multilateral, more transactional, and increasingly dominated by top-level political personalities.

At the centre of this deal is a 15 per cent blanket tariff imposed by the US on European imports, a notable reduction from the earlier threat of 30 per cent. For Europe, that climbdown stings but it also offers relief. Key sectors like pharmaceuticals, semiconductors, aircraft parts, and certain agricultural products have either been spared or granted preferential treatment, preventing a broader economic shock across the continent. In return, the EU has agreed to sweeping concessions – zero-tariff access for selected US goods, significant commitments to purchase........

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