EU to US: Honour Trade Deal After Hike

The European Commission issued a stern warning to Washington on Sunday, demanding that the United States honour the trade agreement established last year.

The call for stability follows President Donald Trump’s decision to hike global tariffs to 15 per cent, a move that came just one day after the U.S. Supreme Court struck down a significant portion of his previous trade policy.

In a formal statement, the Commission emphasised that “a deal is a deal,” reminding the U.S. that as its largest trading partner, the European Union expects all commitments in their Joint Statement to be upheld.

The sudden shift in U.S. policy has created what European officials describe as “pure tariff chaos.”

The EU is now seeking full clarity on how the Trump administration plans to navigate the legal fallout of the Supreme Court’s ruling, which limited the use of the International Emergency Economic Powers Act (IEEPA).

While a prior agreement had already set a 15 per cent ceiling on most European goods, the EU remains concerned that the administration’s unpredictable approach could lead to further increases that violate the spirit of that all-inclusive cap.

The diplomatic friction is already impacting legislative progress in Brussels.

Bernd Lange, the head of the European Parliament’s trade committee, announced he would recommend putting the approval of the EU-U.S. trade deal on hold.

Originally scheduled for a vote this Tuesday, the deal is now in jeopardy as Lange argued that no further steps should be taken without “proper legal assessment and clear commitments” from the American side.

He noted that the current environment of growing uncertainty is inherently disruptive to global markets and supply chains.

In an attempt to manage the crisis, EU Trade Commissioner Maroš Šefčovič held urgent talks on Saturday with U.S. Trade Representative Jamieson Greer and Commerce Secretary Howard Lutnick.

Despite these high-level discussions, European leaders remain wary of the signature “America First” trade strategy.

The EU executive maintains that it will stay in continuous contact with the Trump administration to ensure that European products continue to receive the most competitive treatment and that the established tariff ceilings are not breached.