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European lawmakers suspend U.S. trade deal amid Greenland tariff tensions

European lawmakers halted the trade deal amid U.S. tariff threats linked to Greenland, risking tariffs rising from 10% to 25% on multiple EU countries, officials said.

  • On January 21, 2026, the European Parliament suspended work on proposed U.S.-EU trade measures, pausing the two Turnberry legislative proposals tied to tariff suspensions and settings.
  • On Sunday, more than half a dozen European countries warned that tariff threats over Greenland undermine transatlantic relations, while the Parliament cited sovereignty concerns over Denmark and Greenland.
  • Greenland, the world's largest island, governs its own domestic affairs within the Kingdom of Denmark, and President Donald Trump said at Davos, `All the United States is asking for is a place called Greenland.`
  • The decision signals immediate diplomatic strain between EU institutions and the United States, as Parliament said it will keep work suspended until the U.S. re-engages cooperatively, while Trump's Greenland pressure has heightened NATO tensions at Davos.
  • With tariff threats and public remarks, the White House pressed allies over Greenland as President Donald Trump threatened a 10% tariff on the eight European countries unless a deal was reached.
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Lean Left

The European Parliament has decided to freeze the ratification of the trade agreement signed last summer with the United States, delaying its green light. The president of the Eurochamber's international trade committee, Bernd Lange, made official the decision announced on Tuesday by the president of the EPP group, Manfred Weber, in agreement with Socialists and Liberals. With the new threats of tariffs - withdrawn Wednesday evening after obtain…

·Rome, Italy
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Center

The European Parliament has decided to postpone the green light to the agreement reached in Scotland, following Trump's new threats to Greenland.

·Italy
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ANSA broke the news in Italy on Tuesday, January 20, 2026.
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