The European Parliament voted to advance the implementation of a trade agreement with the USA negotiated last year, which involves the temporary abolition of EU industrial tariffs. The approval is conditional, requiring the USA to fully adhere to its commitments, including imposing a maximum 15% tariff on most EU products.
Key points
- The deal is part of an agreement struck between US President Donald Trump and EU Commission President Ursula von der Leyen in August of the previous year.
- The implementation requires approval from both the European Parliament and the Council of EU states.
- Conditions include a clause to suspend the deal if the US imposes new tariffs and a 'sunset' clause setting the expiration date for the measures at March 31, 2028, unless renewed.
- Parliament had previously halted work on implementation in January due to threats by Trump regarding Greenland and uncertainty following a US Supreme Court ruling on Trump-imposed tariffs.
Why it matters
This move progresses a significant transatlantic trade agreement, although the conditions set by the EU Parliament indicate ongoing political sensitivity regarding compliance from the US administration.
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