Stalled Progress: EU Halts Work on US Trade Deal

EU lawmakers have decided not to continue work on legislative proposals concerning the EU-US trade deal. The deal entails removing many EU import duties on U.S. goods while maintaining zero duties for U.S. lobsters, but has faced criticism for being unequal and unfavorable to the EU.

EU lawmakers have decided to put on hold the legislative proposals related to the EU-US trade agreement. Jorgen Warborn, a member of the centre-right European People's Party grouping in the EU assembly, announced this postponement on social media platform X. This decision marks a setback for efforts to advance the trade deal.

The EU assembly has been engaged in debates over proposals to eliminate several EU import duties on U.S. goods. This measure, a significant component of the trade deal struck in Turnberry, Scotland, last July, also includes continuing zero duties for U.S. lobsters as agreed in 2020 with former President Trump. However, the proposals still require ratification by both the European Parliament and EU member countries.

The trade agreement has faced criticism for its perceived imbalance, as it requires the EU to abolish most import duties while the U.S. retains a 15% broad rate. Despite initial willingness to accept the deal with conditions, including an 18-month sunset clause and protective measures against potential surges of U.S. imports, the EU has now decided to pause further progress.

(With inputs from agencies.)