Adjustment of customs duties and opening of tariff quotas for the import of certain goods originating in the United States of America

The European Parliament adopted by 417 votes to 154, with 71 abstentions, amendments to the proposal for a regulation of the European Parliament and of the Council on the adjustment of customs duties on the import of certain goods originating in the United States of America and opening of tariff quotas for imports of certain goods originating in the United States of America.

The issue was referred back to the committee responsible for interinstitutional negotiations.

As a reminder, on 21 August 2025, the EU and the United States issued a Joint Declaration on a European Union-United States Framework Agreement on Reciprocal, Fair, and Balanced Trade. In the Joint Declaration, the United States committed to amending, in accordance with this political agreement, certain customs duties applicable to imports of products originating in the EU, by lowering the applicable rate to an overall tariff ceiling of 15%. As part of this political agreement and, as set out in the Joint Declaration of 21 August 2025, the Union has expressed its intention to eliminate customs duties on all industrial products originating in the United States and to grant preferential market access for certain seafood and agricultural products.

The main amendments adopted in plenary session are as follows:

Suspension clause

The Commission may, based on reliable information (from Member States, the European Parliament or Union producers), adopt delegated acts to suspend, in whole or in part, certain rules in the following circumstances:

- where the United States: (i) undermines the objectives of improving the trade and investment relationship between the Union and the United States and the objectives to promote reciprocal, fair and balanced trade, or (ii) discriminates against or targets Union economic operators aiming to operate, or already operating, in the United States;

- where the United States imposes additional tariffs on goods imported from the Union that exceed the 15 % tariff ceiling, or modifies the product classification with the effect of raising the tariff level;

- where circumstances change, in particular in the event of serious violations of human rights, fundamental principles of democracy and the rule of law, as well as threats to the essential security interests of the Union or its Member States, including their territorial integrity or economic dimension, as well as their foreign and defence policy.

"Sunrise" clause

Members introduced a “sunrise clause” that would mean that the new tariffs would only become effective if the US respects its commitments. These conditions include the US lowering its tariffs on EU products with a steel and aluminium content below 50%, to a tariff of maximum 15%.

"Sunset" clause

Lastly, Members introduced a "sunset clause" which stipulates that this agreement expires on 31 March 2028 and that it can only be extended following a thorough impact assessment of the effects of the regulation.

Safeguard mechanism

The Commission will be responsible for monitoring the impact of the new rules. Members proposed introducing a safeguard mechanism designed to protect the Union's industry and agricultural sector, in the event that the tariff preferences and tariff quotas granted by this Regulation would lead to such increases of imports of certain goods as to cause or threaten to cause serious injury to Union industry. Where an increase in volume of more than 10 % of the imports of a certain good is recorded, the Commission should conduct an examination to determine whether that increase causes or threatens to cause serious injury to Union industry.

Evaluation and reporting

No later than six months before the end date of the regulation's application, the Commission will present an additional comprehensive impact assessment which will examine, inter alia:

- trade-flow changes;

- the economic impacts, including non-tariff impacts, on the internal market and consumers;

- the effects on the competitiveness and Union producers (in particular the producers of agri-food products of the Union, and SMEs);

- the development in trade relations and EU-US negotiations;

- any potential damage or imbalances in certain sectors;

- changes in trade flows with third countries;

- the budgetary consequences given the reduction in in tariff revenues collected;

- the implications for security and foreign policy;

- the costs associated with US customs tariffs.

The data and methodology used must be made public. If necessary, this analysis may be accompanied by a legislative proposal to extend the regulation.

Lastly, the Commission should keep the European Parliament and the Council regularly informed, and they may request exchanges of views.