The German industry association, the Federation of German Industries (BDI), has voiced concerns regarding the recently implemented trade dispute with the United States. Tanja Gönner, the Managing Director of the BDI, expressed that the agreement, while preventing further escalation, represents a setback for the export-oriented German economy and for Europe as a whole.
Speaking on the Berlin-Playbook podcast by POLITICO, Gönner stated that the situation is “not something we are happy with” and will ultimately be financially burdensome. She added that the agreement is unlikely to benefit American consumers, suggesting price increases are a possible consequence.
Despite these concerns, Gönner acknowledged the importance of European unity demonstrated during the crisis, calling the avoidance of escalation a “significant step” and suggesting a return to the previous trade status was uncertain. She emphasized the lack of a clear winner in the dispute.
Regarding potential future negotiations with the U.S. administration, Gönner indicated that a renegotiation is unlikely. Instead, she stressed the need for ensuring the current arrangement’s reliability and establishing planning certainty for businesses. A key priority is preventing the imposition of further tariffs, particularly in the sectors of pharmaceuticals and semiconductors, where significantly higher duties had initially been proposed.
Gönner further called for clearer, written documentation of the agreement’s terms. She underscored the need for Europe to enhance its competitiveness, specifically highlighting the need to reduce bureaucracy and increase overall economic strength.