BRUSSELS — The European Commission rejected fresh U.S. tariff increases Tuesday, urging President Donald Trump to honor a trade pact sealed last year. The demand followed a U.S. Supreme Court ruling Friday that invalidated Trump’s prior global tariffs, prompting him to roll out temporary 10% levies on all imports before raising them to 15% the next day.
Commission spokespeople said the moves violate commitments for ‘fair, balanced, and mutually beneficial’ transatlantic trade outlined in the joint statement. “The current situation is not conducive to delivering” those goals, they stated. EU products must keep their competitive edge under the agreed 15% ceiling for most goods, excluding items like steel under separate duties. The deal also grants zero tariffs on aircraft and spare parts, while the EU scrapped duties on various U.S. imports and dropped retaliation threats.
“A deal is a deal,” the Commission emphasized in unusually sharp language. This marks a step up from Friday’s cautious note, when officials said they were analyzing the court decision and consulting U.S. counterparts.
Unpredictable tariffs sow disruption and erode market confidence worldwide, the EU executive warned. Trade Commissioner Maros Sefcovic raised the issue directly with U.S. Trade Representative Jamieson Greer and Commerce Secretary Howard Lutnick on Saturday.
No trading partners have signaled plans to abandon their U.S. deals post-ruling, Greer told CBS News Sunday. “I haven’t heard anyone yet come to me and say the deal is off,” he said.
The original agreement capped U.S. tariffs at 15% on most EU exports. It came after tense negotiations amid Trump’s first-term trade wars. EU leaders now watch closely as the new levies hit everything from cars to pharmaceuticals. Commission officials seek immediate talks to avert escalation.
Trump hailed the Supreme Court win as freeing his hand on trade protectionism. The 5-4 decision deemed his emergency powers overreach without congressional approval. Markets dipped Monday on tariff fears, with the Stoxx Europe 600 down 0.8% and the Dow slipping 1.2%.
Brussels views the hike as a direct breach. “We need full clarity on Washington’s next steps,” a Commission statement read. Sefcovic’s weekend calls yielded no public commitments from U.S. officials. EU diplomats prepare countermeasures if needed, though none are announced.
The 27-nation bloc exports over $500 billion in goods to the U.S. annually. Steel and aluminum duties remain untouched by the deal, fueling separate disputes. Last year’s pact aimed to stabilize flows after years of tit-for-tat levies.
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