EU Delays US Trade Deal Vote, Trump's 15% Tariffs Spark Uncertainty
The European Union has warned that its existing trade deal with the United States is now in jeopardy, after US President Donald Trump unveiled new 15% global tariffs on all imports over the weekend. This move has sparked concerns that the rules of the trade game are changing again, further unsettling US trading partners.
Trump's move comes shortly after the US Supreme Court on Friday struck down the global tariffs he implemented last year. In response to the ruling, Trump initially announced a 10% universal tariff on a different legal basis, then raised it to 15%—the maximum limit that can be imposed for up to 150 days before requiring Congressional approval. Trump also asserted that the new duties would take effect immediately.
Officials in Europe and London have expressed concern that Trump's latest tariffs could potentially "disrupt" the trade agreement signed last year. They have demanded clarity from the White House on how the new tariff framework will be applied to the existing agreement. Under the previous agreement, most EU exports to the US were subject to a 15% tariff, while UK exports were subject to a 10% tariff.
The Chair of the European Parliament's International Trade Committee, Bernd Lange, called the situation "pure tariff chaos" from the US administration. He noted that it is increasingly difficult to understand the direction of policy, leaving only open questions and uncertainty for the EU and other US trading partners. Lange also questioned whether the new tariffs could be considered a breach of the agreement, emphasizing that legal certainty is needed before further action.
The European Parliament's trade committee held an emergency meeting on Monday and stated that the legislative process related to the trade deal is now on hold following the US Supreme Court's ruling on the use of the IEEPA. Lange added that one of the key instruments previously used by the US to negotiate and implement the "Turnberry Deal" is no longer available, making the situation even more uncertain and counter to the stability it sought to achieve.
Meanwhile, the European Commission emphasized that "a deal is a deal" and expressed its hope that the US will honor its commitments, just as the EU will stick to the agreements it has made. This tension demonstrates how the latest US tariff policy has the potential to become a new source of friction in transatlantic trade relations.
Source: Newsmaker.id
