'No alternative': What EU said on freezing US trade deal
What's the story
The European Union has put a trade deal with the United States on hold, following President Donald Trump's repeated threats to take over Greenland. The decision comes after the European Parliament decided to freeze a ratification vote. The trade committee was supposed to set its position on January 26-27 but has now been postponed.
Statement
'US undermining stability of EU-US trade relations'
Bernd Lange, chair of the Parliament's trade committee, said that "by threatening the territorial integrity and sovereignty of an EU member state and by using tariffs as a coercive instrument, the US is undermining the stability and predictability of EU-US trade relations." He added they were left with no alternative but to suspend work on the deal until "the US decides to re-engage on a path of cooperation rather than confrontation."
Deal criticism
EU lawmakers criticize uneven trade deal
The trade deal has been under scrutiny amid rising tensions over Greenland. Under the agreement, the US would maintain a 15% tariff on most goods, while the EU would eliminate tariffs on American industrial products and some agricultural items. Parts of this deal were already implemented but still need Parliament's approval to be finalized.
Tariff retraction
Trump retracts tariff threats after EU's decision
After the EU's decision to postpone the deal, President Trump has now retracted his tariff threats on eight European countries over Greenland. He announced an agreement with the NATO head on a "framework of a future deal" regarding Arctic security. "We have formed the framework of a future deal with respect to Greenland and...the entire Arctic Region," he said. "Based upon this understanding, I will not be imposing the tariffs...scheduled to go into effect on February 1," he added.