EU-US tariffs: European Parliament gives final green light to the agreement
They have passed legislation abolishing tariffs on industrial goods from the United States and extending the exemption on lobster imports
From our correspondent Beda Romano
BRUSSELS – Following lengthy negotiations between political parties and national governments, the European Parliament today, Tuesday 16 June, approved the two regulations designed to implement the economic agreement reached between Brussels and Washington last summer. The compromise reached at European level includes a number of safeguards. The vote showed a relatively clear majority, against a backdrop of continuing tension between the European Union and the United States.
The main regulation was approved by 440 votes to 151, with 50 abstentions. The text removes EU tariffs on US industrial products. The second regulation was approved with 444 votes in favour, 152 against and 54 abstentions, and concerns the extension of the exemption from tariffs on lobster imports. As mentioned, in both cases, Parliament requested and secured a series of safeguards to protect against the now frequent unilateral decisions by the United States.
The EU legislation will expire at the end of 2029, at which point it may be renewed if conditions permit (sunset clause). Furthermore, the European regulation also provides for suspension safeguards should Washington fail to comply with the agreement reached last year. On the American side, the agreement stipulates that a 15% tariff will apply across the board to European products imported into the United States.
The Parliament and the Council have finally agreed on the establishment of a safeguard mechanism in the event that the tariff preferences granted to the United States lead to an increase in imports that could undermine European industry, including the agricultural sector. Following Parliament’s approval, it will be up to the Council to formally adopt the agreed texts. The new legislation will enter into force on the day following its publication in the Official Journal of the European Union.
In recent weeks, US President Donald Trump had threatened to impose ‘much higher’ tariffs if the European Union did not approve the agreement by 4 July. Today’s vote should avert the threat of new tariffs, but leaves many uncertainties hanging in the air. Just this week, President Trump stated that he would impose 100% tariffs on French wine unless Paris abolished its tax on digital sales.
