The European Parliament has backed legislation to implement an EU-US trade deal, following months of uncertainty over President Donald Trump's tariff threats. A majority of lawmakers voted in favour of the measures, adding several safeguards to ensure the US honors its commitments. The legislation proposes to set tariffs at 15% for most EU goods, a reduction from the initially threatened 30%, in exchange for increased EU investments in the US and the elimination of EU import duties on US industrial goods.
The vote, which passed with 417 votes in favor, 154 against, and 71 abstentions, comes after delays tied to Trump's controversial tariff announcements and a Supreme Court ruling that invalidated some of those tariffs. However, the EU Parliament has ensured that the agreement remains contingent on the US adhering to its obligations, including a provision to suspend the deal if additional tariffs or new duties above 15% are imposed on EU goods.
Furthermore, legislators adopted a 'sunrise clause' meaning that EU tariff reductions will only commence if the US meets its commitments, specifically for products with less than 50% steel and aluminium composition.
In light of the complexities and the high stakes involved, European economy commissioner Valdis Dombrovskis expressed cautious optimism, stating that they have received assurances from the US regarding the deal's execution. A final vote from the bloc's 27 member states is anticipated in April or May, paving the way for the trade agreement to take effect by 2028.
The vote, which passed with 417 votes in favor, 154 against, and 71 abstentions, comes after delays tied to Trump's controversial tariff announcements and a Supreme Court ruling that invalidated some of those tariffs. However, the EU Parliament has ensured that the agreement remains contingent on the US adhering to its obligations, including a provision to suspend the deal if additional tariffs or new duties above 15% are imposed on EU goods.
Furthermore, legislators adopted a 'sunrise clause' meaning that EU tariff reductions will only commence if the US meets its commitments, specifically for products with less than 50% steel and aluminium composition.
In light of the complexities and the high stakes involved, European economy commissioner Valdis Dombrovskis expressed cautious optimism, stating that they have received assurances from the US regarding the deal's execution. A final vote from the bloc's 27 member states is anticipated in April or May, paving the way for the trade agreement to take effect by 2028.
