Lawmakers from the main political groups, including the centre-right European People’s Party (EPP), socialists and liberals, agreed that the process “cannot proceed at this stage” while Trump continues to link punitive tariffs to demands regarding the Arctic territory.
The trade deal, signed in July 2025 between the European Commission and the US government, aimed to reduce tariffs on EU imports, with a general rate of 15%, while offering zero tariffs on certain American exports. Its ratification by the European Parliament was expected in late January, but lawmakers have now frozen discussions amid what they describe as unacceptable threats of additional tariffs on European countries that oppose American efforts concerning Greenland.
Trump has publicly threatened to impose a 10% tariff from 1 February 2026, escalating to 25% by June, on goods from a group of European nations, including several EU members, unless Washington is granted favourable terms in its disputed claims over the territory. The move has been widely criticised in Europe, with leaders asserting that sovereignty and territorial integrity are non-negotiable and warning of the broader implications for transatlantic cooperation.
French Foreign Minister Jean-Noël Barrot told the French Parliament that the use of tariff threats as political leverage was tantamount to economic blackmail, and that the European Commission retains “very powerful instruments” to respond. In light of this, the suspension of the EU-US trade deal’s ratification is seen as a significant diplomatic rebuke.
The pause in the ratification process effectively halts the implementation of the agreement and underscores growing unease in Brussels over the stability of transatlantic trade relations, which have been strained further by the Greenland dispute.
The European Parliament’s move is expected to form part of broader deliberations in the coming days, including emergency discussions by EU leaders on how best to respond to what officials describe as one of the most serious crises in EU-US relations in years.