The leaders of Europe’s two biggest economies have led a chorus of pessimistic responses to the trade deal struck between EU chief Ursula von der Leyen and US President Donald Trump.
German Prime Minister Friedrich Merz said the agreement would “significantly damage” his country’s finances, but French Prime Minister François Bailloux said it was “submitted.”
The reaction was downbeats across the block – allowing some capitals to sign uneven transactions was worth avoiding an all-out trade war.
We see a 15% tariff on most EU exports to the US (half of the rate threatened by Trump) as Europe buys more American energy and cuts taxes on some imports.
Following a private talk at Trump’s Turnberry Golf Course in Scotland, von del Reyen described the agreement as a “big deal” and said Trump would “integrate” the US and the EU.
The transaction will require approval from all 27 EU members. Each has a different level of profit and dependency on exporting goods to the United States.
Member States did not show that they intended to prevent it from coming into effect, but there was little celebration among European leaders.
Mertz warned that both the US and European economies would be adversely affected, but said the Brussels negotiating team “can’t expect any further achievement.”
Bayrou was writing about X, worse. “It’s a dark day when the Alliance of the Free People gathers together to affirm common values and defend the common good and resigns to submission.”
Trump’s close ally, Hungarian Prime Minister Victor Orban, said the US president “eats von der Leyen for breakfast.”
Spanish Prime Minister Pedro Sanchez said he would support it “without enthusiasm.”
In the weeks that increased the final EU-US speech, some European leaders had a growing appetite for using so-called anti-course measures to increase pressure on Trump.
However, with a 30% tariff approaching, the EU attacked the deal on its members. This still deals an economic blow, but it wasn’t something Trump was originally feared when he threatened import taxes.
Von Der Leyen tried to present it as a success on Sunday, but by Monday, even Manfred Weber, the leader of the European People’s Party, described it as “damage control.”
A broad overview of the transaction has been agreed, but details are finalized after technical consultations – and despite some skepticism, there have also been extensive relief in Europe.
The Finland Prime Minister said it provided “a much needed predictability,” but Irish Trade Minister Simon Harris said it provided certainty “essential to work, growth and investment.”
Defending the terms at a press conference on Monday, EU trade commissioner Maros Sevkovic said it was “the best deal we can get under very difficult circumstances.”
He also pointed out the security implications of maintaining heartfelt trade ties with the United States in the context of the Ukrainian War.
He said that he was given an “additional price” when he assures that Europe and the US were “in line with today’s geopolitical issues.”
