Alberta (Brussels Morning Newspaper) – European Council President Antonio Costa stated on Sunday that rather than causing economic instability through trade issues, Europe and the United States should concentrate on how the European Union assumes greater responsibility for its defence.
Trade relations between the European Union and the United States experienced high tension in 2025, which was characterised by tariff threats, disputes, and negotiations. The critical issues are tariffs on steel and aluminium, tariff threats in general, regulatory differences, and an ongoing trade imbalance.
Addressing reporters alongside EU Commission President Ursula von der Leyen ahead of the G7 leaders’ gathering in Canada, the EU Council president said the two days of sessions offer a chance to discuss “some issues” between partners and friends.
Stability, peace and growth.
— António Costa (@eucopresident) June 16, 2025
The G7 must lead with unity and purpose with these objectives in mind.
Follow my press point with @vonderleyen ahead of the #G7Kananaskis2025 https://t.co/hcVyQg7Him
Are US-EU trade tensions distracting from security goals?
“The main issue between Europe and the United States is precisely about European defence, and we should focus on (this),”
he said, referring to the US’s rebalancing of foreign policy towards countering Beijing.
“Because this is the main issue we should avoid introducing other issues that undermine our economic capacity to assume greater responsibility on our own defence.”
Von der Leyen, who was speaking with Costa, added that although the trade negotiations with the United States were now concentrating on the specifics, an agreement was not certain.
“That’s why this is not the right moment to create uncertainty on economics. It is not the right moment to create problems on trade, because we need to strengthen our economic basis,”
Costa said.
“We are talking about the most relevant trade relations in the world, then we need to protect this and focus on what is the most important which is to have a good agreement between the EU and the United States about the burden sharing on defence.”
Reinforcing Costa’s points, von der Leyen stressed that the G7 must steer clear of protectionism.
“This is an important message. A message that the G7 can send to the markets and to the world,”
she said.
What is delaying a US-EU trade agreement?
Recently, Trump retracted his threat to levy 50% tariffs on European Union goods the next month, reintroducing a deadline of July 9 to allow Washington and the 27-nation union to negotiate an agreement. Trump’s haphazard tariff implementation throughout the world has put pressure on the international economy and caused concern among important U.S. partners.
Could the G7 help ease protectionist pressures globally?
Leaders of the Group of Seven are meeting in Canada beginning on Sunday, with the Israel-Iran conflict likely to be high on the agenda, host Canada is aiming to steer clear of any clashes with US President Donald Trump.
Canadian Prime Minister Mark Carney has stated that his top priorities are to strengthen peace and security, develop critical mineral supply chains, and create jobs. However, issues like US tariffs and the ongoing conflicts in the Middle East and Ukraine are likely to dominate the summit.
On the other hand, previously, Trump departed the summit after calling then-Canadian Prime Minister Justin Trudeau “very dishonest and weak” and telling the U.S. delegation to revoke its acceptance of the final communiqué. This was Canada’s last time hosting the summit, in 2018.
