The German government has issued a strong warning in response to a new tariff threat from former U.S. President Donald Trump. Finance Minister and Vice Chancellor Lars Klingbeil, in an interview with “Süddeutsche Zeitung”, stated that Trump’s proposed tariffs “know only losers” posing a significant risk to the U.S. economy as well as to European businesses. He emphasized the need to end this potential trade conflict.
Klingbeil is advocating for de-escalation and renewed dialogue, urging against further threats and provocations. He reiterated the EU’s commitment to pursuing serious and targeted negotiations with the United States to secure a fair trade agreement.
While stressing the importance of negotiation, the government also indicated a preparedness to take decisive countermeasures to protect European jobs and businesses if a fair agreement cannot be reached. The Minister specifically mentioned the necessity of “further preparing” such measures, underscoring a resolve to defend European economic interests.
Beyond the immediate response, Klingbeil announced plans to actively expand trade relationships with countries beyond the United States. The topic of free and rules-based trade is expected to be a key discussion point at the upcoming G20 Finance Ministers meeting in South Africa. This comes after Trump announced, in a letter to the European Commission, plans to impose a 30% tariff on all goods originating from Europe, effective August 1st.
