Newsletters
The European Parliament has suspended plans to ratify a trade agreement with the United States after a Supreme Court ruling overturned key elements of President Donald Trump’s tariff policy, creating uncertainty over the future of transatlantic trade arrangements.
Parliament negotiators were set to move forward with approving the agreement, which included removing tariffs on U.S. industrial goods entering the European Union, but lawmakers decided to pause the process until Washington clarifies how the court’s decision will affect existing tariff commitments.
Bernd Lange, chair of the European Parliament’s trade committee, convened an emergency meeting with negotiators on Monday and said legislative work would be delayed until the European Union receives clear information on the implications of the U.S. ruling.
Lawmakers across major political groups supported the pause, reflecting concern over the stability of the agreement reached last year between the European Commission and the Trump administration.
Zeljana Zovko, a lead negotiator from the European People’s Party, told Bloomberg that lawmakers had limited options but to delay approval. "We have no other option but to seek clarity before proceeding," she said, stressing the need for detailed explanations from both the European Commission and U.S. officials.
Karin Karlsbro, a member of the liberal Renew group, also told AFP the parliament cannot proceed without understanding how the legal decision affects tariff arrangements. "We will not be able to vote on the Turnberry agreement until we have full clarity on how the Supreme Court’s ruling affects the tariff arrangement," she said.
The uncertainty came after the U.S. Supreme Court struck down the legal basis for Trump’s reciprocal tariffs imposed under emergency powers. Soon after, Trump introduced a new global tariff framework, first setting duties at 10% and later raising them to 15%.
The agreement reached last summer had set a flat 15% tariff on most EU exports to the United States while removing tariffs on American industrial goods entering the bloc. However, the United States kept a 50% tariff on European steel and aluminum.
The European Union remained the largest importer of U.S. goods, with total imports reaching $414.42 billion in 2025, U.S. trade data show.
On the same day, Trump responded to the ruling by criticizing the court and suggesting it had strengthened his broader tariff authority. He wrote on the Truth Social platform that the decision gave him "far more powers and strength than I had prior," and indicated he could use other legal tools, including licensing measures, to impose trade restrictions.
Set as preferred source
Set as preferred source
1 min read
1 min read
