German auto companies embraced greater clarity but warned that even the lower rate of tariffs agreed between Brussels and Washington would still hurt.

Pharmaceutical companies are seeking clarification on tariffs imposed under the new US-EU trade agreement . Analysts caution that sector-specific punitive levies could jeopardise the entire deal, according to a CNBC report.

European shares advanced to a four-month high on Monday, led by gains in pharma and semiconductor stocks, after the EU signed a trade deal with the United States, avoiding steeper tariffs ahead of the August 1 deadline.