EU says it won't accept increase in US tariffs after Supreme Court ruling: ‘A deal is a deal'

• Last year's trade deal eliminated tariffs for most EU goods (except sectoral items like steel) and allowed zero tariffs on products such as aircraft and spare parts
• Trump announced temporary 10% tariffs after the Supreme Court ruling, which he subsequently increased to 15%
• EU Trade Commissioner Maros Sefcovic discussed the issue with US Trade Representative Jamieson Greer and Commerce Secretary Howard Lutnick on Saturday

Summary

Key Development: The European Commission issued a strong rebuke Sunday demanding the US honor the terms of last year's EU-US trade agreement, following the Supreme Court's Friday ruling that struck down President Trump's global tariffs. The EU insists "a deal is a deal."

Immediate Actions: After the Supreme Court decision, Trump announced temporary across-the-board tariffs of 10%, which were subsequently increased to 15%. The EU is demanding "full clarity" from Washington on its next steps.

Trade Agreement Terms: Last year's deal established zero tariffs for most EU goods (excluding sectoral exceptions like steel) and zero tariffs on specific products including aircraft and spare parts. In exchange, the EU removed import duties on numerous US goods and withdrew retaliatory tariff threats.

EU Position: The European Commission, representing all 27 member states, stated the current situation contradicts the agreement's goal of "fair, balanced, and mutually beneficial" transatlantic trade. The bloc emphasized that EU products must maintain "the most competitive treatment, with no increases in tariffs beyond the clear and all-inclusive ceiling previously agreed."

Market Implications: The EU warned that unpredictable tariffs disrupt markets and undermine confidence across global trading systems. The Commission's Sunday statement was notably stronger than its initial Friday response.

Diplomatic Engagement: EU Trade Commissioner Maros Sefcovic discussed the matter Saturday with US Trade Representative Jamieson Greer and Commerce Secretary Howard Lutnick.

The escalating trade tensions between the US and EU threaten to destabilize transatlantic commerce and could trigger retaliatory measures, potentially impacting global supply chains and market stability.