European lawmakers have formally halted ratification of the US trade agreement, challenging President Trump’s attempt to condition tariff policy on European support for his Greenland ambitions. The suspension marks Brussels’ strongest material response to what multiple European leaders have openly described as political blackmail.
According to Bernd Lange, head of the European Parliament’s trade committee, the pathway to compromise remains blocked while Greenland-related threats continue. The suspended deal had promised to eliminate tariffs on many American industrial exports to Europe, representing significant commercial opportunities for US manufacturers.
The European Union has preserved its $750 billion energy purchase commitment, which officials confirm operates separately from the suspended trade agreement. This strategic distinction allows Brussels to maintain essential energy cooperation while taking a firm stance against political coercion.
Diplomatic tensions escalated visibly when European Commission President Ursula von der Leyen revised her travel plans following her parliamentary address. She skipped a Davos detour where she might have encountered Trump, returning instead directly to Brussels to coordinate emergency summit preparations for Thursday evening.
The emergency gathering will address Brussels’ full spectrum of potential countermeasures. European leaders will consider imposing €93 billion in retaliatory tariffs on US exports and potentially activating an unused anti-coercion instrument functioning as a nuclear deterrent in trade conflicts. Originally conceived to limit Chinese economic pressure, this tool could restrict American companies from accessing European markets. Targets might include technology giants like Apple and Netflix, cryptocurrency firms, aircraft manufacturers, or agricultural exporters, though officials recognize such measures could impose costs on European consumers through higher prices or service restrictions.
Von der Leyen Cancels Davos Trip as EU-US Relations Hit New Low
