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The European Commission is seeking clarification from the White House after the US Supreme Court struck down sweeping tariffs imposed by President Donald Trump in a landmark ruling that could have a knock-on effect on the European Union.
The court ruled that Trump exceeded his authority by imposing tariffs on nearly all goods entering the US under a law used for national emergencies only, raising questions over the viability of the agreement struck by the EU and Washington last summer.
“We remain in close contact with the U.S. Administration as we seek clarity on the steps they intend to take in response to this ruling,” the European Commission’s deputy chief spokesperson Olof Gill said on Friday after the ruling was made public.
The EU-US deal, inked last July by Commission President Ursula von der Leyen and President Donald Trump, set a blanket 15% tariff on EU exports while cutting duties on US industrial goods to zero in an agreement in favour of Washington.
As part of the deal, Brussels also pledged to purchase $750 billion of US energy products through 2028 and to invest $600 billion across strategic sectors in the US.
The ruling calls into question the validity of the deal, from tariffs already paid by European companies to future pledges.
“We take note of the ruling by the US Supreme Court and are analysing it carefully,” the Commission’s spokesperson added.
EU-US deal is criticised as unbalanced
The Supreme Court’s ruling is likely to raise serious questions over both the durability of the agreement and the legality of tariffs already paid by EU companies.
In a six-to-three decision issued Friday, the US highest court said Trump could not legally justify the imposition of sweeping tariffs on the grounds of economic emergency.
The ruling applies to the so-called “reciprocal” tariffs introduced by Trump during Liberation Day last year. It does not refer to sector-specific measures, including the 50% duties currently imposed on steel and aluminium.
The ruling also casts doubt over the full implementation of the deal in Europe.
Bernd Lange, chair of the International Trade Committee of the European Parliament, convened an extraordinary meeting on Monday to assess the implications of the ruling as the chamber prepares to vote on implementing the deal struck last summer.
EU lawmakers are currently seeking amendments that would allow the bloc to terminate the current deal in 2028 or suspend it if Trump were to threaten the EU’s territorial integrity again, as he did over Greenland in January.
The limbo around the deal could prompt members of the European Parliament to delay the vote. The decision adds uncertainty for European companies, which could see the tariff regime change substantially or even be eligible for compensation.
Nonetheless, it could also create a legal limbo for exporters unsure of which terms apply.
“Businesses on both sides of the Atlantic depend on stability and predictability in the trading relationship,” the spokesperson said. “We therefore continue to advocate for low tariffs and to work towards reducing them.”
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