Berlin (Brussels Morning Newspaper) – German Chancellor Friedrich Merz expressed optimism that the European Union and the United States will reach a trade agreement by the end of this month at the latest.
“I am cautiously optimistic that we can succeed in reaching an agreement with the U.S. in the next few days, by the end of the month at the latest,”
Merz told lawmakers in the Bundestag on Wednesday.
“I myself am also in close contact with the American government, with the president and the European Commission,”
Merz said.
“Our aim,”
He added,
is to reach an agreement as quickly as possible that links mutual trade between the U.S. and the European Union with the lowest possible tariffs.”
Why does Merz stress unity among EU member states?
As reported by Politico, Merz faces heavy pressure from German industry, especially automakers, to urge the EU to finalise a quick deal as its export-driven economy suffers amid Trump’s sector-specific tariffs. The U.S. currently imposes 25 per cent tariffs on cars and 50 per cent on steel and aluminium.
“There is a lot at stake here,”
Said Merz.
“Jobs are at stake here. The prosperity of our country is also at stake here.”
While urging the EU to act swiftly, Merz emphasised that Germany alone would accomplish nothing, highlighting the importance of unity among the 27 member states.
What is Germany’s main concern in US trade talks?
A few days ago, German Chancellor Friedrich Merz emphasised the importance of a swift trade agreement with the US to safeguard key industries like pharma, auto, and steel, ahead of the tariff deadline on July 9, which is rapidly approaching.
“The trade impasse with the US needs to be resolved quickly. Better quick and simple than lengthy, complicated and months of negotiations,”
Merz told a banking conference in Berlin.
He highlighted the significance of the chemical, automobile, pharmaceutical, mechanical engineering, aluminium, and steel sectors, which are at risk from US tariffs. Emphasising that Europe must prepare for the possibility of the US reducing its ties with Europe, Merz noted there are genuine concerns about whether Europe and the US will maintain shared interests in the long run.
Merz’s comments were made amid ongoing trade negotiations, with the EU aiming to conclude a deal before the tariff deadline later this month.
