Speaking to reporters on Wednesday, French government spokesperson Sophie Primas said Europe had entered “a new phase” of negotiations with the United States, adding: “Neither Europe nor the USA has any interest in a trade escalation.”
But she added that Europe must have as much resolve as the United States and must be ready to assert its own power and influence.
Trump threatened on Tuesday to hit the European Union with tariffs while speaking to reporters at the White House, citing the need to rectify the EU’s trade imbalances with the United States
“They treat us very, very badly. So they’re going to be in for tariffs,” Trump said of the EU. “You can’t get fairness unless you do that.”
A day earlier, Trump accused the bloc of not importing enough American products, saying he would “straighten that out” by imposing duties or by urging the EU to buy more oil and gas.
The EU is the largest economy in the world and the world’s largest trading bloc. It is also the top trade partner for 80 countries while the US is the top partner for more than 20 countries. The bloc’s largest trading partners in 2023 were the United States, China, the UK and Switzerland.
Germany also wants to avoid “spiraling tariffs” and will work with the rest of the European Union to speak with one voice in response to any trade disputes with the United States under Trump, an economy ministry spokesperson said Wednesday.
“We are, of course, interested in maintaining good trade relations,” the spokesperson told a press conference in Berlin. “In this respect, the aim here is to avoid spiraling tariffs at all costs.”
Trump on Tuesday reiterated his threat to impose a 10 percent tariff on China, saying it could start was “based on the fact that they’re sending fentanyl to Mexico and Canada”.
He floated February 1 as the possible start date for 25 percent tariffs on Canada and Mexico, accusing them of failing to stop illegal immigration or halt fentanyl trafficking into the United States.
Mexico, Canada and China are the top three sources for goods imported by the United States, according to official trade data.
While traders wait to see what portion of Trump’s rhetoric becomes action and what remains a means of negotiating leverage, a broad trade memorandum that Trump signed on Monday keeps some room for a measured approach. Trump ordered federal agencies to complete comprehensive reviews of a range of trade issues by April 1.
(FRANCE 24 with Reuters and AFP)
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