Europe perceives Trump's proposed agreement as a surrender rather than a monumental deal
European leaders have largely reacted with criticism and frustration to the new trade agreement between the United States and the European Union. They view the terms as unfavorable to the EU economy and see the deal as a political defeat for Europe that favors U.S. demands and aggressiveness.
German Chancellor Friedrich Merz expressed relief that a trade conflict has been averted, stating that it would have negatively impacted the export-oriented German economy. However, he acknowledged that the German economy and, by extension, the wider European economy will suffer due to the tariffs imposed—a 15% tariff on most EU exports to the U.S.—which replaced a potential 30% tariff that was to take effect in August 2025. Merz expressed dissatisfaction that more could not have been achieved and warned the economic consequences would not be limited to Europe, but affect the U.S. as well.
Similarly, French Prime Minister Francois Bayrou called Sunday a "dark day" for the region in a post on X. Bernd Lange, chair of the European Parliament's trade committee, deemed the deal "not satisfactory." Belgium's Prime Minister Bart De Wever described Sunday's deal as a "moment of relief but not of celebration."
The agreement sets a 15% tariff on most imported goods from the European Union. President Donald Trump has rated Sunday's trade agreement with the European Union as the "biggest deal ever." However, the tariff is still well above the average of around 1.2% from before Trump's second term.
The deal also includes EU commitments to invest hundreds of billions of dollars in the United States and buy US energy products. In a statement, Ursula von der Leyen, president of the European Commission, said the agreement offers "stability and predictability" to European and American companies.
Analysis from experts and commentators emphasizes that this deal provides only temporary relief but could cause longer-term economic pain for the EU. It is widely seen as a capitulation to then U.S. President Trump’s trade policy, which employs tariffs and coercion aggressively. The deal hurts the EU’s image domestically and globally, legitimizes aggressive negotiation tactics, and highlights the necessity for the EU to rethink its economic and geopolitical strategy, including reducing dependency on the U.S. and diversifying partnerships.
Hungarian Prime Minister Viktor Orban compared Trump to a heavyweight boxer, suggesting Trump had steamrolled the EU in negotiations. David Collins, professor of international economic law at City St George’s University of London, described the deal as a "humiliating capitulation on behalf of the EU."
In conclusion, while some leaders acknowledge that the deal prevents worse outcomes, the predominant sentiment among European leaders is critical, viewing the agreement as economically damaging and politically humiliating for the EU.
- Despite President Donald Trump's rating of the deal as the "biggest ever," the 15% tariff on most EU imports is far above the pre-Trump's second term average of around 1.2%.
- Following the agreement, Hungarian Prime Minister Viktor Orban compared Trump to a heavyweight boxer, suggesting that Trump had steamrolled the EU in negotiations.
- Commentators and experts have emphasized that the agreement provides temporary relief but could cause longer-term economic pain for the EU, and highlights the necessity for the EU to rethink its economic and geopolitical strategy, including reducing dependency on the U.S. and diversifying partnerships.
