The European Union has officially suspended ratification of the trade agreement with the United States to retaliate against Donald Trump's threat of new tariffs following the Greenland dispute.
On Wednesday, 21 Jan 2026 GMT+7, the European Parliament decided to indefinitely suspend the vote to ratify the trade agreement between the US and Europe, after President Donald Trump threatened to take over Greenland and impose an additional 10% import tariff on countries opposing his ambitions.
"The EU-US agreement has been suspended indefinitely!" Bernd Lange, Chair of the European Parliament's Trade Committee, stated in a post on the X platform.
It remains unclear whether this means the entire trade agreement is canceled or if the parts already in effect will continue as is. The EU and US reached a preliminary agreement last July, which put most of the deal into effect before formal signing.
The trade agreement between the European Union and the US followed Donald Trump's announcement of import tariffs on trading partners worldwide in April 2025. The deal reduces US tariffs from 30% to 15% in exchange for European investments in the US and adjustments to promote US exports.
Last Saturday, just hours after Trump's threat of new tariffs over the Greenland dispute, Manfred Weber, a prominent German member of the European Parliament, said, "Approval (of the agreement) cannot happen at this time."
The EU had planned to retaliate against US tariffs with measures targeting American goods valued at over €93 billion during ongoing negotiations, but these measures remain suspended for now.
However, this suspension will end on 6 February, meaning the EU's tariff measures will take effect immediately on 7 February unless the bloc decides to extend the suspension or approve a new agreement.
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Source:cnn