The European Union has suspended its planned tariffs on U.S. goods that were due to begin on Wednesday, August 6. The proposed tariffs would have affected major American exports such as soybeans, cars, aircraft, and whisky.
On Tuesday, the European Commission officially announced the decision to halt these measures for six months, citing ongoing negotiations with the U.S. “The commission has adopted the necessary legal procedures to suspend the implementation of our EU countermeasures, which were due to kick in on 7 August,” said EU trade spokesperson Olof Gill.
EU-US Agreement Set the Stage
This decision follows a framework agreement reached on July 27 between European Commission President Ursula von der Leyen and U.S. President Donald Trump, just days before the EU’s retaliatory tariffs were to take effect.
Initially, the EU had planned a two-part package of countermeasures valued at €21 billion and €72 billion. These were merged into a single action plan on July 24, with approval from EU member states.
Brussels Pauses, But Washington Pushes Ahead
Despite the EU’s suspension of its tariffs, the United States has introduced new ones. On July 31, Trump signed an executive order to impose 15% tariffs on most EU imports starting August 8.
This rate is lower than the earlier threat of 30%, but still higher than pre-2024 levels.
Key sectors like the automotive industry and aviation saw no relief. Cars and car parts continue to face 25% tariffs, and aircraft and related equipment remain affected.
Talks Still Ongoing
Gill noted that the EU is still actively negotiating with the U.S. to finalize a formal statement. “The EU continues to work with the US to finalise a joint statement, as agreed on 27 July,” he said. He added that the recent agreement has created “a first important foundation” for giving EU exporters some short-term certainty. “A first important foundation is laid for restoring clarity to EU companies exporting to the US,” Gill said.
Suspension Could Be Reversed Quickly
A senior EU official, speaking anonymously, explained that the deal is still not finalized, but more updates should arrive “very, very soon.” The official also said the EU remains ready to reinstate the suspended tariffs if necessary: “We put it back into the freezer and we can always take it out if needed, so we can always unsuspend the suspension.”
More U.S. Actions Expected
According to EU insiders, more executive orders from Washington are expected in the near future. While the current suspension offers temporary relief, uncertainty over long-term trade relations between the EU and U.S. still remains.
