US tariff retaliation will be suspended by the EU for six months

The European Union will pause its two sets of countermeasures against U.S. tariffs for six months after reaching an agreement with U.S. President Donald Trump, a spokesperson for the Commission announced on Monday.

The EU-U.S. agreement raises numerous unanswered questions, particularly regarding tariff rates on spirits. Additionally, Trump’s recent executive order imposing a 15% tariff on most EU goods did not provide exemptions for items like cars and car parts.

EU officials anticipate that additional executive orders will be issued in the near future.

“The spokesperson stated, ‘The EU continues to collaborate with the U.S. to finalize a Joint Statement, as agreed on 27 July.'”

“In light of these objectives, the Commission will proceed to suspend the EU’s countermeasures against the US for a period of 6 months, which were set to take effect on 7 August.”

The retaliatory tariffs consist of two components: one addressing U.S. steel and aluminum duties, and the other responding to Trump’s baseline and car tariffs.