There is an agreement in the EU on the full implementation of the controversial customs deal with the USA.
May 20, 2026, 04:32May 20, 2026, 04:32
In the wake of US President Donald Trump’s recent threats, representatives of governments and the European Parliament agreed overnight to eliminate tariffs on US industrial goods and to grant US seafood and agricultural products better market access.
As a result of the deal, various US goods are no longer subject to customs duties. (symbol image) Image: keystone
However, a safety net should ensure that the benefits only apply if the USA fully implements its obligations under the agreement.
Specifically, it is envisaged, among other things, that EU tariff concessions can be suspended again if the USA violates agreements. This could include further tariff increases. In addition, a fixed expiry date should be set. “The effects on Europe’s economy will be reviewed as of December 31, 2029,” said the chairman of the Trade Committee in the European Parliament, Bernd Lange (SPD). “If it becomes apparent that European companies are being damaged or new imbalances arise, the emergency brake will automatically be pulled.”
According to Lange, continuous monitoring will also be established. The EU Commission will therefore have to report on trade developments every three months in the future. The Commission must also submit a comprehensive assessment six months before the tariff advantages expire. On this basis, the EU institutions should then decide on a possible extension of the regulations that are advantageous for the USA.
The customs deal was agreed last summer
With the customs deal agreed last year, the EU managed to avert an impending trade war. At the same time, however, the international community had to accept US tariffs of up to 15 percent on most goods exported to the United States and make further concessions such as the abolition of EU tariffs on US industrial goods.
Trump recently accused the EU of not sticking to its agreements and announced that he wanted to increase tariffs on cars and trucks imported into the USA from the EU to 25 percent.
A week and a half ago he set a deadline for the implementation of the trade agreement. If the EU does not fulfill its part of the agreement by the USA’s birthday – July 4th – the tariffs would “unfortunately immediately rise to a much higher level,” Trump said on his Truth Social platform.
Greenland conflict delayed work on deal
The EU had sharply criticized the car tariff threats in particular, but is now trying to de-escalate with the agreement. The delays in implementing EU commitments are explained by disputes and conflicts provoked by Trump. Work in Brussels was temporarily on hold for weeks because Trump had announced new tariffs against EU states in the Greenland conflict.
Meanwhile, German Chancellor Friedrich Merz had recently shown some understanding for Trump’s impatience and also cited resistance in Parliament as the reason for the delays. Trump is “rightly a bit disappointed” that the EU has not yet reached a conclusion with the customs agreement, the CDU politician recently said on the ARD program “Caren Miosga”.
The group leader of the Left in the European Parliament, Martin Schirdewan, criticized on Wednesday night that the parliament had ultimately abandoned agreed positions in the negotiations with government representatives. “The European Parliament is allowing itself to be forced into a bad trade deal with the USA,” said the German. There is a lack of political will to oppose Trump’s blackmail and to consistently use the new instrument against coercive measures.
Schirdewan also criticized the fact that the deal gave the EU Commission further powers to act, even though it had negotiated the “bad deal”.
The agreement between the representatives of the Member States and the Parliament must now be confirmed by the Council of Ministers and the plenary session of Parliament. The regulations should come into force by July 4th at the latest. (sda/dpa)