EU says it won’t tolerate any hike in US tariffs following Supreme Court’s ruling – Firstpost

After the United States Supreme Court struck down broad tariffs imposed by President Donald Trump, the European Commission on Sunday demanded that the United States honour last year’s trans-Atlantic trade agreement and provide “full clarity” on future tariff policy. The court’s decision has rattled global trade ties and left allies seeking reassurance on longstanding pacts.

In a sharply worded statement, the Commission stressed that unpredictable levies undermine confidence in trans-Atlantic commerce and investment. The Europe-US trade deal, struck in mid-2025, set a 15% cap on most US tariffs for European exports while lifting many duties on US industry goods — part of an effort to stabilise economic relations after years of tariff disputes. “A deal is a deal,” the executive said, insisting no rate hikes should exceed the agreed limit.

Supreme Court ruling upends tariff authority

The Supreme Court on Friday ruled that Trump exceeded his authority under the International Emergency Economic Powers Act (IEEPA) by imposing blanket tariffs on imports from most trading partners. That decision struck down tariffs previously justified as emergency measures, although the president quickly responded with new levies under alternative trade laws.

Trump’s administration initially imposed tariffs of about 10% across the board in response to the court’s decision and then raised them to 15%. The White House said the tariff cap aligns with the 2025 EU-US pact, but European officials remain wary of what the frequent shifts signal for economic predictability.

EU pushes for clarity and adherence

The Commission’s demand for transparency underscores concern among EU members about the trajectory of US trade policy. Brussels has been in regular discussions with US negotiators, with Trade Commissioner Maroš Sefcovic even raising the issue directly with Washington in recent talks. The EU seeks reassurance that agreed tariff ceilings and market-access terms will not be eroded by unilateral measures.

Some EU lawmakers are also calling for a delay in ratifying the trade deal, saying the sudden tariff changes alter the legal and economic basis for the agreement and create uncertainty for businesses operating on both sides of the Atlantic.

The Supreme Court ruling has also had broader ripple effects on world markets and trade partners. The decision dampened the US dollar and boosted gold prices as investors eyed the fallout from the court’s rebuke of executive tariff authority. Economic analysts say the ruling provides trading partners slightly more negotiating leverage, although lingering uncertainty remains over which tariffs will ultimately stand and how long they will last.