U.S. President Donald Trump has announced a trade agreement with the European Union(EU) that will cut tariffs down to 15 percent on imports from the trading bloc. 

Trump made the announcement on Sunday after a meeting with European Commission President Ursula Von der Leyen in Scotland.

Von der Leyen also confirmed the deal, saying it will bring stability for both allies.

Under the agreement, the EU will boost its investment in the U.S. by 600 billion dollars and will purchase hundreds of billions of dollars’ worth of American military equipment and 750 billion dollars’ worth of U.S. energy.

Trump said the 15 percent tariff rate will also apply to automobiles exported from the EU to the United States.

Currently, the U.S. imposes a 25 percent tariff on all automobile products, including those from the EU.

But Trump said pharmaceuticals, steel and aluminum are not included in the deal.