The ongoing dispute between the European Union and the United States is intensifying, with discussions centering on potential tariffs and retaliatory measures. Economic advisor Achim Truger is advocating for a firm stance from the EU, suggesting that pre-approved countermeasures should be implemented swiftly if an agreement isn’t reached by the end of July. He further stated that the EU should be prepared for further escalation, potentially including actions targeting US digital corporations. The aim, according to Truger, is to demonstrate a resolute position, signaling an unwillingness to be dictated to.
US President Donald Trump announced on Saturday plans to impose tariffs of 30 percent on imports from the EU and Mexico, effective August 1st. In response to the announcement, the EU Commission postponed the implementation of planned counter-measures against US companies until early August.
Truger expressed concern about the potential repercussions of escalated tariffs on the German economy. Current estimations suggest that the tariffs currently threatened by Trump could negatively impact Germany’s GDP by approximately 0.5 percent. He also cautioned that the impact of a substantial government economic support package currently in place would be significantly reduced.