European Parliament Suspends U.S. Trade Deal Over Trump Tariff Threats Linked to Greenland
European Parliament paused ratification of the U.S.-EU trade deal after Trump's tariff threats tied to demands for Greenland, prompting EU emergency talks and possible countermeasures.
Overview
Bernd Lange, chair of the European Parliament's International Trade Committee, announced suspension of the Turnberry trade agreement's ratification, citing U.S. tariff threats undermining EU and Danish sovereignty.
President Trump reiterated at Davos his push for U.S. control of Greenland, ruled out military action but threatened tariffs: 10% from Feb. 1 rising to 25% on June 1.
EU leaders returned to Brussels for an emergency summit to coordinate responses, considering €93bn in counter-tariffs and activation of the anti-coercion instrument against U.S. firms.
The Turnberry framework had aimed to cap U.S. tariffs at 15% and remove some tariffs, but Parliament's pause threatens its final approval and future trade certainty.
Markets reacted: U.S. stocks fell sharply before partial recovery; European STOXX 600 dipped slightly, reflecting investor concern over an escalating transatlantic trade dispute.
Analysis
Center-leaning sources frame U.S. actions as coercive and destabilizing, emphasizing EU outrage and economic fallout. Editorial choices use charged terms ('threats,' 'coercive instrument,' 'trade bazooka'), prioritize EU officials' statements (Lange, von der Leyen), and lead with halted ratification and market reactions, while Trump’s quoted remarks remain presented as source content.
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FAQ
The Turnberry trade agreement is a US-EU deal agreed in July 2025 to cap US tariffs at 15%, remove tariffs on US industrial goods entering the EU, and restore stability to transatlantic trade relations after prior disputes.
Trump threatened 10% tariffs starting February 1, 2026, escalating to 25% on June 1, 2026, against up to eight EU countries including Denmark, France, and Germany, plus the UK, over refusal to cede control of Greenland.
The suspension was announced by Bernd Lange, chair of the International Trade Committee, citing US tariff threats as undermining EU and Danish sovereignty over Greenland and destabilizing trade relations.
The EU is holding an emergency summit in Brussels, weighing €93 billion in retaliatory tariffs and activation of the anti-coercion instrument against US firms.[1]
US stocks fell sharply before partial recovery, while the European STOXX 600 dipped slightly, reflecting investor concerns over the escalating US-EU trade dispute.
History
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