EU halts $108bn tariffs on US goods despite members' dissent

Brussels [Belgium], August 7: The European Commission on Tuesday formally suspended planned retaliatory tariffs on US imports worth about $108 billion, just days before they were due to take effect.
The Commission's trade spokesperson, Olof Gill, said the decision was adopted under an emergency procedure and will require formal approval by a simple majority of member states within two weeks. The tariffs were scheduled to take effect on Aug. 7.
"The Commission has today adopted necessary legal procedures to suspend the implementation of our European Union (EU) countermeasures," Gill told a press briefing in Brussels, adding that the regulation would be published in the EU's official journal later the same day.
Ahead of this announcement, there has been mounting criticism from key member states, including France and Germany. German Vice Chancellor and Finance Minister Lars Klingbeil has expressed frustration at what he described as a "weak" negotiating stance by the EU during the trade talks with the United States.
"I think we were too weak. We can't be satisfied with the result that was achieved," Klingbeil said, referring to the agreement reached late last month between European Commission President Ursula von der Leyen and US President Donald Trump.
Under the deal, most EU imports to the United States will face a 15-percent tariff, while the bloc has pledged to purchase more American energy products and increase investment in the U.S. market.
Gill expressed surprise at Klingbeil's remarks, noting that member states had been "fully briefed" and had supported a negotiated outcome to avoid tariff escalation.
The spokesperson said the suspension would remain in place for six months, during which implementation of the broader understanding would continue. If commitments are not met, Gill noted, the EU retains the right to reactivate its countermeasures.
Source: Times of Oman