Germany slams U.S.-EU trade deal over tariffs and job risks

A new trade deal between the U.S. and EU has triggered backlash in Germany, with officials warning it threatens free trade and endangers tens of thousands of jobs.

The recently announced trade deal between the United States and the European Union has ignited strong criticism in Germany, particularly from political and business leaders.

The agreement, unveiled by U.S. President Donald Trump and European Commission President Ursula von der Leyen, imposes a 15% tariff on most EU exports like cars and semiconductors, while keeping 50% tariffs on metals such as steel and aluminum.

Critics argue the deal severely undermines Germany’s export-driven economy, especially its automotive sector.

Bavarian Minister Hubert Aiwanger criticized the tariffs as harmful to global trade. 

"Tariffs will only distort the market. I hope that the United States would lower tariffs until they reach zero, so as to truly achieve free circulation of goods on a global scale," he added. 

Automotive journalist Frank Volk warned that the uncertain business climate and potential relocation of production facilities could result in the loss of tens of thousands of German jobs. 

While the White House described the deal as a modernization of transatlantic trade, European leaders voiced their discontent.

French Prime Minister Francois Bayrou criticized the EU’s concession as a 'submission,' and German Chancellor Friedrich Merz expressed concern that the agreement would heavily burden Germany’s economy, which relies heavily on exports.

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