Washington, D.C., March 2023 – The recent decision by a US federal court to largely lift the tariffs imposed by President Donald Trump has not been met with jubilation in the German government, but rather as a glimmer of hope in the ongoing US trade dispute. The EU must continue to negotiate with the US administration and prepare countermeasures, according to Andreas Lenz, a CDU economics expert, in an interview with the Welt newspaper.
“Ultimately, the goal must be an agreement with the US, as the largest trading partner of Germany” Lenz emphasized, adding that a trade conflict would harm both sides and that tariffs would increase inflation and subsequently devalue life.
Sebastian Roloff, an SPD economics expert, expressed the hope that the court’s decision might bring reason to the US administration, despite its reputation for disregarding the rule of law. “The President should step back from this power play and engage in talks to strengthen global trade, particularly with the EU” he urged.
Markus Frohnmaier, the AfD’s parliamentary vice-chair, was more skeptical, pointing out that other court decisions under the Trump administration had shown that the conservative-packed Supreme Court often overruled lower-court decisions. “Perhaps nothing will change” he said, adding that the EU must remain vigilant in protecting the interests of the German export industry.
Friedrich Merz, the CDU’s leader, was seen as unlikely to secure a hearing in the White House, with the top priority being to minimize tariffs on both sides to allow German exports to continue flowing to the US.
In a positive note, the Green Party’s economics expert, Sandra Detzer, welcomed the court’s decision, saying, “The decision of the federal court once again demonstrates that the US democracy is currently being defended by the judiciary.” She expressed concerns, however, over whether the decision would be enough to change the US President’s trade policy, emphasizing the need for European unity and strength in the face of the ongoing dispute.
Linken Party leader Ines Schwerdtner was more pessimistic, stating that the court’s decision would only give the trade a temporary reprieve, but would not alter the US administration’s policy. “I assume that, even if the court’s decision stands in the next instance, it will take months for Trump to find a way to circumvent or ignore the decision” she said, calling for the EU to overcome its economic dependence on the US and other authoritarian regimes, a central challenge of the present.