US President Donald Trump said on Thursday that the European Union must officially ratify and implement the existing trade deal or the US will increase tariffs on the bloc.
Trump said he was “patiently waiting for the EU to do its part” on a “historic trade deal.”
Trump’s comments came after what he described as a “great call” with European Commission President Ursula von der Leyen, but he warned that the EU must adhere to its side of the bargain.
“A promise was made that the EU would keep its side of the agreement and cut its tariffs to zero, as per the agreement!” Trump posted his Truth on social platforms. “I agreed to give it until our country’s 250th birthday, otherwise, unfortunately, their tariffs would immediately rise to very high levels.”
Why was the deal not approved?
The EU had signed an agreement with Trump in July last year. It calls for a maximum tariff of 15% on most European imports into the US. In return, Brussels promised to reduce tariffs on US industrial goods and ease market access for US agricultural products such as pork and dairy.
Implementation of the agreement by the EU was delayed due to a number of factors affecting bilateral relations between the US and the EU.
Frustration over Trump’s other tariff threats, controversy over his bid to annex Greenland, and legal uncertainty arising from a U.S. Supreme Court decision that found many of his existing tariffs unlawful all had the effect of slowing progress on adopting the agreement.
EU lawmakers ultimately gave the green light to the deal in March, but they also demanded additional safeguards. Now, the agreement must be negotiated with all EU member states before the bloc can implement it.
Cyprus, which holds the rotating presidency of the EU Council, will hold talks with European lawmakers on May 19 and has vowed to maintain “positive momentum” on the topic.
Edited by: Rana Taha