Members of the European Parliament (EP) will not approve a trade agreement with the United States (US), after US President Donald Trump announced new tariffs on European countries as part of an attempt to take control of Greenland, writes the Brussels-based portal Politiko.
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On Wednesday this week, MEPs postponed a decision on whether to freeze ratification of the agreement, which Trump and European Commission President Ursula von der Leyen signed in July last year, due to tensions with the US over Greenland.
Swedish MEP Karin Karlsbro, trade coordinator for the European Liberals, told Politico today that the EU-US agreement will not receive sufficient support.
"I do not see the possibility of the European Parliament giving the green light to progress with the customs agreement when we take the decision on Wednesday. Instead, the EU must prepare to respond to President Trump's tariff attacks, including those aimed at Sweden. We cannot rule out either reciprocal tariffs or the use of the 'bazooka' if the pressure and coercion continue," said Carlsborough.
The EU's so-called trade "bazooka", or Anti-Coercion Instrument, entails a range of punitive measures that can be used against trade rivals who try to threaten the EU.
These include restrictions on investment and access to public procurement schemes, as well as restrictions on intellectual property protection.
The president of the European People's Party (EPP), Manfred Weber, announced that the escalation of tensions between the US and Europe means that the EP will not vote for the agreement, which sets US tariffs on EU imports at 15 percent, in exchange for the EU not applying tariffs on US exports.
"The EPP is in favour of an EU-US trade agreement, but given Donald Trump's threats regarding Greenland, approval is not possible at this stage. Zero percent tariffs on US products must be put on hold," Weber said.
The EPP, unlike other parties in the EP, has not so far been firmly convinced that ratification of the agreement should be postponed.
The vote in which the EP would adopt a position on the abolition of tariffs on American goods was supposed to take place on January 26th.
The Vice-President of the European Socialists and Democrats for Trade, Kathleen van Brent, joined today in calls for the use of the Anti-Coercion Instrument.
"It is simply outrageous that Donald Trump is using tariffs and economic threats to impose an illegitimate territorial claim... If this is not coercion, then what is," Van Brent said in a statement.
She added that approving the trade deal "would not be pragmatic, but completely stupid."
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