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European Parliament 'Freezes' Trade Deal with US After Trump Threats

Published January 20, 2026, 16:29

The European Parliament has agreed to postpone the ratification of a significant trade agreement with the US, in response to threats from President Donald Trump to impose tariffs. This decision marks the EU's first official reaction to Trump's pressures, who is threatening additional tariffs if he does not acquire Greenland. The president of the Social Democrats group in the European Parliament announced that there is a “majority agreement” among political groups to suspend the agreement. The EU is considering broader responses, including increasing tariffs on American products worth 93 billion euros. France is also pushing for a more decisive stance, describing the situation as “crazy” and proposing the use of anti-coercion tools. Ursula von der Leyen assured that the EU's response will be “decisive, united and proportionate”. The suspension of the agreement aims to send a strong message to Washington and protect the interests of European producers. This development is expected to have significant implications for trade relations between the EU and the US, and it remains to be seen how the American side will react to the European Parliament's decision.