BRUSSELS – The European Union has praised Donald Trump’s decision to suspend sweeping duties on nearly all US trading partners and reiterated its commitment to negotiating a “zero-for-zero” tariff deal with Washington.

“I welcome President Trump’s announcement to pause reciprocal tariffs,” European Commission President Ursula von der Leyen said in a statement on Thursday morning. “It’s an important step towards stabilising the global economy.”

Von der Leyen added that Brussels “remains committed to constructive negotiations” with Washington to reduce trade barriers.

“Tariffs are taxes that only hurt businesses and consumers,” she said. “That’s why I’ve consistently advocated for a zero-for-zero tariff agreement between the European Union and the United States.”

Von der Leyen announced earlier this week that the EU had proposed removing tariffs on all industrial products traded with Washington, including automobiles, chemicals, and machinery.

She also said on Thursday that the EU will seek to mitigate global trade uncertainty by boosting trade links with other countries and deepening its fragmented single market.

“This crisis has made one thing clear: in times of uncertainty, the single market is our anchor of stability and resilience,” she said.

Von der Leyen’s comments were preeempted on Wednesday evening by Germany’s chancellor-in-waiting, Friedrich Merz.

“Europeans are determined to defend ourselves and this example shows that unity helps most of all,” Merz said, adding: “Let’s all set tariffs of 0% on transatlantic trade, and then the problem will be solved.”

“The bond market right now is beautiful”
The comments come after Donald Trump’s surprise decision on Wednesday to issue a 90-day “pause” on most “reciprocal tariffs” imposed on US trading partners – including a 20% duty on the EU.

However, Washington’s previously announced 25% levies on automobiles and steel and aluminium remain in force, as does a 10% baseline tariff that came into effect on Saturday.

Trump also imposed 125% tariffs on China on Wednesday, after Beijing retaliated against US duties by hiking its rate on American goods to 84%.

Trump’s announcement came just hours after the EU member states approved the Commission’s proposal to retaliate against Trump’s steel and aluminium tariffs.

However, it remained unclear on Thursday whether the EU is committed to retaliating against the steel and aluminium tariffs.

“The European Commission will now take the necessary time to assess this latest development, in close consultation with our Member States and industry, before deciding on next steps,” Commission spokesperson Olof Gill said.

Duties of 10-25% on a range of US goods valued at €21 billion are currently set to be phased in gradually over the course of this year, with the some of the taxes set to be collected as early as next week.

Trump’s surprise announcement was made after bond prices slumped on Wednesday, pushing up US borrowing costs.

“The bond market is very tricky, I was watching it,” Trump told reporters in the Oval Office on Wednesday. “The bond market right now is beautiful. But yeah, I saw last night where people were getting a little queasy.”

US stock prices soared on Wednesday, with the S&P 500 surging by 9.52% – the largest upturn since 2008. European equities also soared in early trading on Thursday, with the STOXX Europe 600 up 6% as of 10am CEST.

Polish Prime Minister Donald Tusk, whose country currently holds the rotating presidency of the Council of the EU, also hailed Trump’s decision on Wednesday.

“Maintaining close transatlantic relations is a common responsibility of Europeans and Americans, regardless of temporary turbulences,” he wrote on X. “So let’s make the best of the next 90 days.”

An EU official similarly noted on Thursday that the 90 days will provide Brussels time to “extend discussions with the Americans”.

“It leaves us very good breathing space,” the official added.

(om)