Published on •Updated
Last July, Trump and Ursula von der Leyen struck a trade deal in Scotland.
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The maths looked simple: zero tariffs on US industrial goods against a 15% cap on European exports.
It was built to protect a relationship worth almost 1.68 trillion euros.
But now, the European Parliament is pushing back.
After a US Supreme Court ruling against the tariffs, Washington introduced new duties on steel and aluminium, effectively violating the treaty before signature.
And European lawmakers argue Europe cannot be bullied, so they are baking three defensive shields into the text. The known as Sunrise Clause stalls the deal until Washington drops those steel duties.
And there is also the “Sunset Clause” which automatically ends the agreement in March 2028, just before Trump leaves office. Finally, the “Greenland Clause” allows Brussels to suspend everything if Trump threatens European territorial integrity again.
Predictably, this has split Brussels. The centre-right EPP wants a quick deal to avoid industry chaos, but the Socialists are digging in. And top negotiator Bernd Lange insists European legislation must not be dictated by threats from Washington.
If negotiators reach a compromise tonight, the text heads to a plenary vote in June. But if the deadlock holds, this massive trade relationship hits a cliff-edge, and that 4 July deadline will bring a wave of American tariffs straight to Europe’s doorstep.
Watch the Euronews video in the player above for the full story.
