A major shift in EU\u2013US trade policy began on 7 August 2025, as the United States enforced new import tariffs on nearly all its trading partners, including the European Union. The change follows an Executive Order signed on 31 July 2025 by U.S. President Donald Trump.<\/p>\n
Under the order, a uniform 15% tariff now applies to most EU exports, covering industries from automotive to semiconductors. Timber is a special case. The Directorate-General for Trade of the European Commission confirmed that, regarding lumber, until the United States completes its Section 232 investigation\u2014still ongoing\u2014the tariff rate applicable to lumber exports from the EU remains equal to the U.S. most-favored-nation tariff rate, which is 0% for softwood lumber, with no additional duty imposed. Officials underlined that any future tariffs imposed as a result of the investigation would not exceed 15%. In practice, European softwood lumber continues to enter the U.S. duty-free until at least late November, when the Section 232 report is due.<\/p>\n
Engineered wood products are treated differently. They already face a 10% U.S. tariff and may soon move to the 15% rate. Other wood products were excluded from the initial U.S. tariff proposals in April 2025, known informally as \u201cLiberation Day\u201d, but remain under review as part of the Section 232 investigation that started on 1 March. Until its conclusion on 26 November 2025, no new duties will be applied to these products.<\/p>\n
Just before the tariff decision, on 27 July, European Commission President Ursula von der Leyen and President Trump reached a political understanding on trade terms. The framework is not legally binding and still requires confirmation by EU institutions and member states. It includes the 15% tariff on most EU exports, zero-for-zero tariffs on strategic goods such as aircraft and parts, some chemicals, certain medicines, semiconductor manufacturing equipment, selected agricultural products, natural resources and critical raw materials. Steel and aluminium remain subject to a 50% tariff, with a new quota system planned. The agreement also covers energy, with the EU committing to increase imports of U.S. LNG, oil and nuclear fuel, while the U.S. will supply AI chips to support European production capacity.<\/p>\n
Alongside tariff measures, the EU has pledged to address U.S. concerns over non-tariff barriers, including regulatory requirements, administrative burdens, and measures such as the EU Deforestation Regulation (EUDR), which Washington has cited as a trade obstacle.<\/p>\n
For EU softwood lumber exporters, the next three months bring stability, with exports to the U.S. still duty-free. Engineered wood producers face likely cost increases once tariffs reach 15%. The outlook for European wood products will depend on the Section 232 investigation\u2019s outcome in November and whether the July political deal is confirmed in law.<\/p>","protected":false},"excerpt":{"rendered":"
A major shift in EU\u2013US trade policy began on 7 August 2025, as the United States enforced new import tariffs on nearly all its trading partners, including the European Union. The change follows an Executive Order signed on 31 July … Continue reading