Top Headlines

Feeds

EU Halts US Trade Deal as Trump Threatens Greenland Tariffs

Updated (45 articles)

EU Parliament Suspends Trade Deal Approval The European Parliament paused ratification of the July Turnberry trade pact after President Trump pressed a new approach to Greenland, with committee chair Bernd Lange announcing the hold until Washington re‑engages [1][2][3][4]. Lawmakers framed the suspension as a response to “sovereignty threats” and warned no compromise would occur while tariff threats persisted [3][4]. The pause affects the deal that would lower U.S. levies on most European goods to 15 % [1][2].

Trump Issues and Then Reverses Greenland Tariff Threats Trump publicly threatened to annex Greenland and impose tariffs of up to 35 % on countries opposing his ambitions, linking the pressure to the trade agreement [1][5]. Hours later, after an Arctic framework discussion with NATO officials, he announced he would not enforce the tariffs slated for February [2][5]. His later Davos remarks reiterated a refusal to use force while keeping the tariff threat ambiguous [2][4].

Turnberry Agreement Caps Tariffs at Fifteen Percent The negotiated Turnberry package would cap U.S. tariffs on EU imports at roughly 15 %, down from earlier proposals of 30 % and includes tariff‑rate quotas for certain agri‑food products [1][2][3]. Parts of the agreement have already taken effect, maintaining the reduced rates despite the political dispute [2]. In exchange, Europe pledged investment in the United States and measures to boost U.S. exports [1].

EU Considers Anti‑Coercion Instrument Amid Tensions EU leaders, including Macron and Lange, warned they could activate the bloc’s anti‑coercion tool—dubbed a “trade bazooka”—if tariff pressure continues, a move that could reinstate about €93 bn in tariffs [1][3][5]. An emergency summit of all 27 member states was convened to coordinate a response, featuring a planned investment surge and security framework for Greenland [4]. The EU’s stance underscores a broader test of transatlantic unity over both economic and security dimensions [4].

Financial Markets React to Diplomatic Shifts U.S. stock indices rose after Trump’s Davos comments, while European markets and safe‑haven assets such as gold fluctuated in response to the evolving trade tension [1][5]. Earlier briefings on the tariff threat had triggered a sell‑off on Wall Street, reflecting investor anxiety over a potential U.S.–EU trade war [5].

Sources (5 articles)

Stories about this story (29 stories)

Social media (2 posts)

All related articles (45 articles)

External resources (10 links)