The European Commission this Sunday asked the United States for “total clarity” about the measures it is going to take following the ruling of that country’s Supreme Court that invalidates most of the tariffs imposed by Donald Trump, who in response announced a global tariff of 15% on all countries.
“The European Commission requests complete clarity on the measures that the United States intends to take following the recent Supreme Court ruling on the International Emergency Economic Powers Act (IEEPA),” the European Executive said in a statement.
The current situation, according to the Commission, “is not conducive to the realization of ‘fair, balanced and mutually beneficial’ transatlantic trade and investment, as agreed by both parties.”
The new rate of 15% – initially 10% – was Trump’s response to the ruling of the US Supreme Court, which overturned much of his tariff policy, considering that he exceeded the emergency powers invoked by the American magnate to impose taxes on the North American country’s trading partners.
With the aim of minimizing the effects of tariffs and avoiding a trade war, Brussels and Washington signed an agreement in the summer by which the European Union (EU) accepted a general tax of 15% and that the US exported its industrial goods to the bloc free of tariffs.
In its statement today, the European Executive insisted that it “will always ensure that the interests of the European Union are fully protected. EU companies and exporters must have fair treatment, predictability and legal certainty.”
Likewise, Brussels noted that “a deal is a deal” and that, as the United States’ largest trading partner, “it expects it to fulfill its commitments established in the Joint Declaration, just as the EU maintains its commitments.”
The Commission demanded that EU products “should continue to benefit from the most competitive treatment, with no tariff increases beyond the previously agreed clear and inclusive limit.”
They also reiterated that, applied “unpredictably”, these measures “are inherently disruptive, undermining confidence and stability in global markets and generating even more uncertainty in international supply chains.”
Finally, the Community Executive assured that it maintains “close and continuous” contact with the US Administration and noted that the EU Trade Commissioner, Maroš Šefčovič, spoke with the US Trade Representative, Jamieson Greer, and the Secretary of Commerce, Howard Lutnick, this Saturday.
“We will continue to work to reduce tariffs, as set out in the Joint Declaration. The EU’s priority is to preserve a stable and predictable transatlantic trading environment, while acting as a global anchor for rules-based trade,” the statement noted.
A large majority of European products are subject to a 15% tariff in the US, but the EU does not yet apply 0% to US goods, because the European Parliament has not yet ratified the agreement.
The European Parliament’s Trade Committee, which is scheduled to vote on the pact between Brussels and Washington next Tuesday, decided to call MEPs to a meeting this Monday to analyze the implications of the US Supreme Court ruling.