The European Union (E.U.) has halted the approval of its trade deal with the United States. This follows the Trump tariffs threat on eight European nations over their support against the U.S. plans to take over Greenland.
E.U. Suspends U.S. Trade Deal Over Trump Tariffs Threat
During a press conference held today, European Parliament member Bernd Lange, who also serves as the INTA chair, confirmed that they have suspended the approval of the trade deal between the region and the U.S. Lange stated that the recent plans by the U.S. president to impose tariffs on European nations go against the terms of the trade deal.
CoinGape had reported over the weekend about the latest Trump tariffs, with the U.S. set to impose 10% tariffs on France, Sweden, Denmark, Norway, Finland, the Netherlands, the U.K., and Germany, starting from February 1. These tariffs could also increase to 25% by June 1 if there is no deal for the U.S. to acquire Greenland by then.
Further commenting on the suspension of the E.U.-U.S. trade deal, Lange noted that the U.S. president didn’t revise his position on plans to acquire Greenland during his Davos speech. “He wants to have Greenland as part of the United States as quick as possible,” the INTA chair said. The E.U. parliament member added that they will pause the approval of the trade deal until there is clarity regarding the Greenland threats.
U.S. President Fails To Address the Tariffs Issue
It is worth noting that Trump’s Davos speech failed to touch on the proposed tariffs on these European nations. However, a positive was that he called for immediate negotiations on the U.S. plans to acquire Greenland.
These Trump tariffs are expected to pressure these countries into reaching an agreement with the U.S. on Greenland. During his Davos speech, the U.S. president stated that the U.S. needs the island for world peace, as only they can successfully defend the territory against external threats.
He promised not to use force even as the U.S. looks to acquire Greenland, allaying fears over a similar military intervention like what happened in Venezuela. Notably, the BTC price rose above $90,000 following the president’s speech.
However, the flagship crypto has dropped below this psychological level following the suspension of the trade deal over the Trump tariffs threat. Meanwhile, crypto traders are betting against the U.S. acquiring Greenland this year. Polymarket data shows only a 21% chance that this would happen before 2027.
Source: PolymarketSource: https://coingape.com/trump-tariffs-e-u-suspends-u-s-trade-deal-amid-tensions-over-greenland/
