Supreme Court Ruling Throws Deal Into Doubt
The European Parliament has suspended work on the EU-US trade agreement following a US Supreme Court ruling that declared some of Washington’s 2025 tariffs illegal. The decision triggered a fresh response from President Donald Trump, who announced new 15% duties on imports, further unsettling the fragile deal.
German MEP Bernd Lange, chair of the Parliament’s trade committee, said the legal foundation of the agreement had shifted dramatically. With new tariffs replacing the old framework, he argued that clarity from Washington is essential. Lawmakers are now seeking firm assurances that the US intends to respect the agreement in the long term.
Parliament Holds the Final Say
The trade pact, brokered in July 2025 by European Commission President Ursula von der Leyen and Trump after weeks of tense negotiations, had already faced criticism within Europe. Many viewed it as uneven, as it locked in 15% US tariffs on EU exports while granting broad duty-free access to American goods entering the bloc.
The European Parliament must approve the deal before it can take effect. Although a vote had been scheduled, lawmakers have now effectively scrapped it. This is not the first delay: earlier talks were frozen when Trump threatened tariffs against EU countries over Greenland, before negotiations resumed.
Emergency Talks and Rising Tensions
In response to the latest developments, EU Trade Chief Maroš Šefčovič held urgent discussions with US Trade Secretary Howard Lutnick and Trade Representative Jamieson Greer. He also convened a video call with G7 counterparts in an effort to contain the fallout.
Šefčovič stressed that for Brussels, the key issue is certainty: if a deal has been struck, it must be honored. He expressed hope that Parliament could still vote on the agreement during its March plenary session, provided Washington offers clear commitments.
Since returning to office, Trump has pursued an assertive trade agenda aimed at reshoring US industry and increasing federal revenues. However, the Supreme Court ruled that he exceeded his authority by imposing certain tariffs without Congressional approval under emergency powers, a decision that has now left the transatlantic trade agreement hanging in the balance.
