On the 24th February, the European Parliament INTA Committee announced that legislative work on the EU–US “Turnberry Deal” files will be put on hold following the US Supreme Court ruling on the International Emergency Economic Powers Act (IEEPA).

EP INTA Chair and standing rapporteur Bernd Lange said the judgment removes a key legal instrument used by the US to negotiate and implement the deal, creating renewed uncertainty. He also warned that the proposed replacement (Section 122) would apply additional duties on top of MFN rates, potentially pushing tariffs on EU exports above the agreed 15% ceiling, in breach of the deal’s terms.

A majority of shadow rapporteurs agreed to suspend work on the two legislative files until legal clarity and stability in EU–US trade relations are restored. Scheduled committee votes have been cancelled, with the situation to be reassessed next week.

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On 22nd February, the European Commission called on the United States to provide full clarity on the steps it intends to take following the recent Supreme Court judgment on the International Emergency Economic Powers Act (IEEPA).

The Commission stressed that the current uncertainty risks undermining the “fair, balanced and mutually beneficial” transatlantic trade relationship outlined in the August 2025 EU–US Joint Statement. It underlined that EU exporters must continue to benefit from the agreed tariff ceiling, with no increases beyond the previously defined limits.

Reaffirming that “a deal is a deal,” the Commission said it expects the US to honour its commitments, while the EU stands by its own. It warned that unpredictable tariff measures disrupt markets and supply chains, and confirmed ongoing high-level contacts with the US administration to safeguard a stable and predictable transatlantic trading environment.

Amongst EP Political Groups, S&D and the Greens/EFA called on the Turnberry Agreement’s negotiations to be paused, as the vote on the draft report confirming tariff reductions for US imports would be voted on 24 February during the EP INTA Committee meeting.

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On 20th February, the US Supreme Court ruled that President Trump exceeded his authority when he imposed wide-ranging “reciprocal” tariffs using emergency economic powers. The Court found that the legal basis used (the International Emergency Economic Powers Act – IEEPA) does not authorise the US President to impose tariffs. This decision comes just days before the European Parliament was due to vote on reducing levies on US exports under the EU–US trade deal agreed last summer.

Key points from the ruling:

• The Court invalidated the legal basis for the broad “reciprocal” tariffs, including the 15% blanket duty applied to most EU exports to the US.
• However, sector-specific tariffs remain in place, including the 50% duties on steel and aluminium.
• The European Commission has indicated it is analysing the ruling and remains in contact with the US administration to understand next steps.
• Members of the European Parliament such as Bernd Lange chair of the INTA committee have signalled that the EU–US trade deal process may be paused until there is more clarity.
• At the same time, US officials are expected to look for an alternative legal basis (“plan B”) to potentially reintroduce some tariffs.
• Several US investigations are ongoing and could still lead to additional sector-specific tariffs in the future.

What this means for sport brands and retailers:

• There is no immediate change to existing sector-specific duties, but overall tariff uncertainty remains.
• The EU–US trade deal timeline and implementation are now less certain and may be delayed.

FESI will continue to monitor the reaction of the Commission and closely and keep members informed of any concrete developments that could impact our sector.