EU Parliament Halts Ratification of Trade Deal with USA Over Tariff Uncertainty

The European Parliament has formally paused the ratification process for the EU-USA trade agreement due to uncertainty following US President Donald Trump's latest tariff announcements. The move was confirmed by Bernd Lange, Chairman of the Trade Committee, who demanded clear assurances from the US regarding adherence to the deal.

Key points

• The vote in the European Parliament's trade committee, originally scheduled for Tuesday, has been postponed.
• The pause is a reaction to US President Trump announcing a worldwide import tariff rate of 10%, later raised to 15%, after a Supreme Court decision against his previous tariff policy.
• The agreement reached in August 2025 included generalized tariffs of 15% on most EU imports to the US, down from an initial 30%, and zero tariffs on American lobster.
• This is the second time the European Parliament has suspended the legislative process for the agreement.
• The EU Commission and the German government are seeking clarity from Washington on the new US tariff policy to ensure planning security for businesses.

Why it matters

The suspension signals significant friction in EU-US trade relations, jeopardizing an agreement intended to provide legal certainty and stability for businesses on both sides.