EU to suspend US tariff countermeasures for 6 months

BRUSSELS: The European Union will suspend its two packages of countermeasures to U.S. tariffs for six months following a deal with U.S. President Donald Trump, a Commission spokesperson said on Monday.

AI Brief

The EU is postponing its retaliatory tariffs against the US for six months to allow time for negotiations.
Trump's recent executive order imposed 15% tariffs on most EU goods, excluding key carve-outs like cars and car parts.
EU officials expect more US executive orders soon and are working toward a finalised joint statement with the US.

The EU-U.S. agreement leaves many questions open, including tariff rates on spirits, and Trump's executive order last week setting tariffs on most EU goods at 15% did not include carve-outs such as for cars and car parts.

EU officials have said they expect more executive orders to follow soon.

"The EU continues to work with the U.S. to finalise a Joint Statement, as agreed on 27 July," the spokesperson said in a statement.

"With these objectives in mind, the Commission will take the necessary steps to suspend by 6 months the EU’s countermeasures against the US, which were due to enter into force on 7 August."

The retaliatory tariffs are in two parts: one in response to U.S. steel and aluminium duties, and the other to Trump's baseline and car tariffs.