EU Parliament Seeks Power to Unilaterally Cancel US Trade Deal

European Parliament Reconsiders US Trade Agreement, Demands 'Hard Strike Back' Capability

The European Parliament is pushing for significant changes to the EU-US trade deal, demanding the right to unilaterally terminate the agreement and retaliate forcefully if necessary. This move comes amid ongoing tensions over tariff imbalances and concerns about European sovereignty following the Greenland controversy.

Unbalanced Agreement Sparks European Concerns

D66 Europarliamentarian Gerben-Jan Gerbrandy has been vocal about the need for stronger European negotiating power. 'We want an end date because it's an unbalanced agreement,' Gerbrandy stated, highlighting that European products face higher tariffs when entering the US market than American products face in Europe.

The Turnberry Deal, reached in July 2025, was supposed to address long-standing trade issues between the two economic giants. However, according to European Parliament documents, the International Trade Committee has only recently resumed work on implementing legislation after a suspension triggered by former President Donald Trump's Greenland remarks.

Business Pressure vs. Strategic Sovereignty

Gerbrandy acknowledges the high pressure from European businesses seeking certainty and a workable agreement. 'The business community wants certainty and constantly asks for a workable agreement,' he noted. However, he emphasized that strategic considerations must take precedence.

The Europarliamentarian pointed out that Trump negotiated various exceptions to the agreement, making it essential for Europe to demonstrate strength. 'If Europe shows its fist, then Trump is much less tough than when he sees a Europe that bends along,' Gerbrandy argued.

Steel and Aluminum Tariffs Remain Sticking Point

A major concern for European industries, particularly steel and aluminum producers, is the continued 50% tariff on these materials entering the US market. While most other products face a 15% tariff under the agreement, this disparity creates significant competitive disadvantages for European manufacturers.

According to EUROFER reports, EU steel exports to the US have already declined from 4.6 to 3.8 million tonnes since 2018 due to previous tariffs, creating ongoing pressure on the industry.

Call for Faster European Decision-Making

Gerbrandy emphasized the need for faster European decision-making and greater political integration, echoing sentiments expressed by former ECB President Mario Draghi. 'It's not just about economic integration. We need to unite to become much stronger,' he stated.

The Europarliamentarian stressed the urgency of this process, noting that 'it's extremely important that we get to work on this in the next one to one and a half years.' This call for accelerated integration comes as Europe faces multiple geopolitical challenges and seeks to strengthen its strategic autonomy.

Next Steps and Parliamentary Process

The European Parliament's International Trade Committee, chaired by Bernd Lange, has scheduled a potential vote on the implementing legislation for February 24. The resumption of work is conditional on the US respecting EU territorial integrity and sovereignty, and honoring the Turnberry Deal terms.

The committee has agreed to include provisions allowing suspension of tariff preferences if EU security interests or territorial integrity are threatened. This represents a significant shift toward a more assertive European trade policy that prioritizes strategic interests alongside economic considerations.

The final parliamentary vote is expected in March, with the outcome having significant implications for trans-Atlantic relations amid ongoing geopolitical tensions and the approaching US presidential election.