Firstpost
  • Video Shows
    Vantage Firstpost America Firstpost Africa First Sports
  • World
    US News
  • Explainers
  • News
    India Opinion Cricket Tech Entertainment Sports Health Photostories
  • Lifestyle
Trending Donald Trump Narendra Modi Elon Musk United States Joe Biden

Sections

  • Home
  • Live TV
  • Videos
  • Shows
  • World
  • Entertainment
  • India
  • Explainers
  • Opinion
  • Sports
  • Cricket
  • Lifestyle
  • Health
  • Tech/Auto
  • Web Stories
  • Business
  • Impact Shorts

Shows

  • Vantage
  • Firstpost America
  • Firstpost Africa
  • First Sports
  • Fast and Factual
  • Between The Lines
  • Flashback
  • Live TV

Events

  • Putin in India
  • Bihar Election
  • Raisina Dialogue
  • Independence Day
  • Champions Trophy
  • Delhi Elections 2025
  • Budget 2025
  • Firstpost Defence Summit
Trending:
  • Iran unrest
  • Ice protests
  • US strike in Syria
  • BMC elections
  • Australian open
  • AR Rahman on Chhaava
fp-logo
‘On hold’: EU pauses trade pact with US after Trump links new tariffs to Greenland
Whatsapp Facebook Twitter
Whatsapp Facebook Twitter
Trending

Sections

  • Home
  • Live TV
  • Videos
  • Shows
  • World
  • Entertainment
  • India
  • Explainers
  • Opinion
  • Sports
  • Cricket
  • Lifestyle
  • Health
  • Tech/Auto
  • Web Stories
  • Business
  • Impact Shorts

Shows

  • Vantage
  • Firstpost America
  • Firstpost Africa
  • First Sports
  • Fast and Factual
  • Between The Lines
  • Flashback
  • Live TV

Events

  • Putin in India
  • Bihar Election
  • Raisina Dialogue
  • Independence Day
  • Champions Trophy
  • Delhi Elections 2025
  • Budget 2025
  • Firstpost Defence Summit

‘On hold’: EU pauses trade pact with US after Trump links new tariffs to Greenland

FP News Desk • January 18, 2026, 15:09:59 IST
Whatsapp Facebook Twitter

The European Union has paused talks on a proposed trade deal with the United States after President Donald Trump announced fresh tariffs on several European countries, linking the move to his renewed push to acquire Greenland. The decision has put last year’s EU–US trade truce under strain and raised fresh uncertainty over transatlantic economic ties.

Advertisement
Subscribe Join Us
+ Follow us On Google
Choose
Firstpost on Google
‘On hold’: EU pauses trade pact with US after Trump links new tariffs to Greenland
US President Donald Trump delivers remarks on tariffs in the Rose Garden at the White House in Washington, DC, US, April 2, 2025. File Photo/Reuters

The European Union has paused negotiations on a proposed EU–US trade deal after President Donald Trump announced fresh tariffs on Denmark and several other European countries, linking the move to his renewed push to acquire Greenland.

The decision has cast doubt over last year’s transatlantic trade truce, signed in July by Trump and European Commission President Ursula von der Leyen. The agreement was aimed at stabilising trade ties by keeping US tariffs on EU goods at 15 percent, while the bloc agreed to drop duties on American exports.

STORY CONTINUES BELOW THIS AD

Greenland dispute derails momentum

Momentum behind the deal stalled after Washington escalated pressure on Europe over Greenland. Trump announced an additional 10 percent tariff on European countries that sent troops as part of a small deployment to the Arctic island this week. He said the levy would rise to 25 percent from June 1 and remain in place “until a deal is reached for the complete and total purchase of Greenland”.

European leaders said the troop deployment followed Trump’s own warnings about increased Russian and Chinese activity in the North Atlantic and was not intended to provoke Washington.

More from World
'Fair trade over tariffs': European Union, Mercosur bloc sign 'historic' free trade deal 'Fair trade over tariffs': European Union, Mercosur bloc sign 'historic' free trade deal Trump sets new territorial target? Nominee for ambassador of Iceland calls self 'governor of 52nd state Trump sets new territorial target? Nominee for ambassador of Iceland calls self 'governor of 52nd state

Reacting to the move, European Council President Antonio Costa warned that the EU would deliver a “joint response” if the tariffs remain in force.

European Parliament halts ratification

Inside the European Parliament, political groups moved quickly to halt ratification of the trade deal. European People’s Party president Manfred Weber said lawmakers could not support an agreement while tariffs were being used as leverage over Greenland.

“The EPP supports an EU–US trade deal, but under the current circumstances approval is not possible. Zero-tariff treatment for US products has to be paused,” Weber said in a post on X.

Siegfried Murean, an MEP involved in the process, said the vote had been imminent before relations deteriorated. The July agreement was meant to cut EU tariffs on American imports to zero.

Quick Reads

View All
Taiwan detects 9 Chinese PLA aircraft, naval vessels around island amid rising tensions

Taiwan detects 9 Chinese PLA aircraft, naval vessels around island amid rising tensions

'Putin would be the happiest man on earth': Spanish PM Sanchez on US invasion of Greenland

'Putin would be the happiest man on earth': Spanish PM Sanchez on US invasion of Greenland

“We were meant to ratify the EU–US trade deal very soon. Given the new context, that decision will have to wait,” he wrote.

Calls for retaliation grow louder

Others urged Brussels to prepare for retaliation. Karin Karlsbro, Renew Europe’s coordinator on trade, said Parliament would not give the green light this week and warned that the EU must be ready to respond to Trump’s tariff pressure.

“I see no possibility for the European Parliament to move forward with the tariff agreement when we take a decision on Wednesday,” Karlsbro told Politico. “Instead, the EU must prepare to respond to President Trump’s tariff attacks.”

STORY CONTINUES BELOW THIS AD

She said the bloc could not rule out retaliatory tariffs or the use of the Anti-Coercion Instrument — often referred to as the “bazooka” — which allows the EU to impose restrictions on investment, public procurement and intellectual property protections against countries using economic pressure.

Von der Leyen warns of damage to ties

With tariffs now directly linked to Trump’s Greenland push, EU lawmakers warned that a deal meant to calm trade tensions was becoming another casualty of them.

European Commission President Ursula von der Leyen cautioned that the new tariffs risk damaging transatlantic relations. “Tariffs undermine transatlantic relations and risk a dangerous downward spiral,” she said, stressing that Europe would uphold its sovereignty and remain united.

She reaffirmed the EU’s support for Denmark and Greenland, saying the bloc stood “in full solidarity” with both, and underlined that territorial integrity and sovereignty are core principles of international law.

Von der Leyen added that the EU remains committed to dialogue and to continuing discussions initiated last week between the Kingdom of Denmark and the United States.

Deal at risk amid tariff escalation

The dispute threatens to unravel the July agreement, under which the EU also pledged to purchase $750 billion worth of US energy and increase investments in the United States by $600 billion. At the time, Trump had described it as “the biggest deal ever made”, while von der Leyen said it would bring stability and predictability to EU–US trade relations.

Trump said the new 10 percent tariffs would take effect on February 1 and apply to Denmark, Sweden, France, the United Kingdom, Germany, Finland, Norway and the Netherlands. In a post on Truth Social, he said the measures would remain until a deal was reached for the “complete and total purchase of Greenland”, arguing that the US had long subsidised Europe by not imposing tariffs.

STORY CONTINUES BELOW THIS AD

Calling Greenland critical to US national security, Trump has repeatedly said Washington needs control of the island, warning that “world peace is at stake” and citing alleged interest from China and Russia.

Follow Firstpost on Google. Get insightful explainers, sharp opinions, and in-depth latest news on everything from geopolitics and diplomacy to World News. Stay informed with the latest perspectives only on Firstpost.
  • Home
  • World
  • ‘On hold’: EU pauses trade pact with US after Trump links new tariffs to Greenland
End of Article
Latest News
Find us on YouTube
Subscribe
  • Home
  • World
  • ‘On hold’: EU pauses trade pact with US after Trump links new tariffs to Greenland
End of Article

Quick Reads

Taiwan detects 9 Chinese PLA aircraft, naval vessels around island amid rising tensions

Taiwan detects 9 Chinese PLA aircraft, naval vessels around island amid rising tensions

Taiwan detected nine Chinese PLA aircraft and nine PLAN vessels near the island, with three aircraft crossing the Taiwan Strait median line into its ADIZ. A day earlier, Taiwan reported 26 PLA aircraft and eight naval vessels near its waters, with seven aircraft entering various ADIZ zones. President Lai Ching-te vowed to safeguard Taiwan, pledging to protect citizens and prevent interference from China.

More Quick Reads

Top Stories

From Starmer to Macron: European leaders fume over Trump's Greenland tariffs

From Starmer to Macron: European leaders fume over Trump's Greenland tariffs

‘Why are Americans paying for AI in India?’ Trump aide Navarro’s fresh rant over US-funded ChatGPT use abroad

‘Why are Americans paying for AI in India?’ Trump aide Navarro’s fresh rant over US-funded ChatGPT use abroad

India vs New Zealand Live Score 3rd ODI at Indore: Mitchell puts Kuldeep under pressure again

India vs New Zealand Live Score 3rd ODI at Indore: Mitchell puts Kuldeep under pressure again

Massive fire rips through dozens of shops at a mall in Pakistan, killing 3 people

Massive fire rips through dozens of shops at a mall in Pakistan, killing 3 people

From Starmer to Macron: European leaders fume over Trump's Greenland tariffs

From Starmer to Macron: European leaders fume over Trump's Greenland tariffs

‘Why are Americans paying for AI in India?’ Trump aide Navarro’s fresh rant over US-funded ChatGPT use abroad

‘Why are Americans paying for AI in India?’ Trump aide Navarro’s fresh rant over US-funded ChatGPT use abroad

India vs New Zealand Live Score 3rd ODI at Indore: Mitchell puts Kuldeep under pressure again

India vs New Zealand Live Score 3rd ODI at Indore: Mitchell puts Kuldeep under pressure again

Massive fire rips through dozens of shops at a mall in Pakistan, killing 3 people

Massive fire rips through dozens of shops at a mall in Pakistan, killing 3 people

Top Shows

Vantage Firstpost America Firstpost Africa First Sports
Enjoying the news?

Get the latest stories delivered straight to your inbox.

Subscribe

QUICK LINKS

  • US Govt Shutdown
Latest News About Firstpost
Most Searched Categories
  • Web Stories
  • World
  • India
  • Explainers
  • Opinion
  • Sports
  • Cricket
  • Tech/Auto
  • Entertainment
  • Photostories
  • Lifestyle
NETWORK18 SITES
  • News18
  • Money Control
  • CNBC TV18
  • Forbes India
  • Advertise with us
  • Sitemap
Firstpost Logo

is on YouTube

Subscribe Now

Copyright @ 2024. Firstpost - All Rights Reserved

About Us Contact Us Privacy Policy Cookie Policy Terms Of Use
Home Video Quick Reads Shorts Live TV