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'Substantial damage, submission': Germany, France react to Trump's 'huge deal' with EU
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  • 'Substantial damage, submission': Germany, France react to Trump's 'huge deal' with EU

'Substantial damage, submission': Germany, France react to Trump's 'huge deal' with EU

FP News Desk • July 29, 2025, 06:29:18 IST
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A new trade deal between EU chief Ursula von der Leyen and US President Donald Trump has drawn sharp criticism from France and Germany, with leaders warning it could hurt Europe’s economy and undermine the bloc’s independence

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'Substantial damage, submission': Germany, France react to Trump's 'huge deal' with EU
German Chancellor Friedrich Merz and French President Emmanuel Macron hold talks in the library of the Villa Borsig, guesthouse of the German Foreign Ministry, in Berlin. AFP

Leaders of Europe’s two largest economies, France and Germany, have voiced strong criticism of the new trade deal reached between EU chief Ursula von der Leyen and US President Donald Trump.

German Chancellor Friedrich Merz warned the agreement would “substantially damage” the country’s economy, while French Prime Minister François Bayrou said it amounted to “submission”.

The overall reaction across the EU has been gloomy, though some member states conceded that the deal, despite being unbalanced, was a necessary compromise to avoid a full-blown trade war.

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Under the agreement, a 15 per cent tariff will be imposed on most EU exports to the US—significantly lower than the 30 per cent initially threatened by Trump, in exchange for Europe increasing imports of American energy and cutting duties on certain US goods.

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EU chief says it is a ‘huge deal’

Following private talks at Trump’s Turnberry golf course in Scotland, Ursula von der Leyen called the agreement a “huge deal”, while President Trump said it would bring the US and EU “closer together”.

The deal still requires approval from all 27 EU member states, each with differing economic priorities and varying reliance on exports to the US.

Although no country has indicated an intention to block it, there was little celebration among European leaders.

Chancellor Merz warned that both the US and EU economies would likely suffer negative impacts. However, he acknowledged the Brussels negotiating team had done all it could when facing a US president determined to reshape global trade relationships.

Bayrou took aim at the agreement, writing on X, “It is a dark day when an alliance of free peoples, brought together to affirm their common values and to defend their common interests, resigns itself to submission.”

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