The European Union has decided to extend the suspension of retaliatory tariffs on U.S. goods until August 1, 2025, in an effort to reach a negotiated trade agreement with the Trump administration. European Commission President Ursula von der Leyen announced the delay to allow more time for negotiations amid ongoing trade tensions. The U.S. had threatened to implement countermeasures if no deal was reached, prompting the EU to postpone its own tariff countermeasures. Despite the extension, several EU member states, led by France, are increasingly supporting the activation of the bloc's most potent trade instrument, the anti-coercion instrument (ACI), as a last resort should talks fail by the August 1 deadline. This tool would enable the EU to respond firmly to what it perceives as coercive trade practices by the United States. The move reflects growing intra-EU pressure to prepare for a potential escalation in the trade dispute if negotiations do not yield a resolution.