EU urges caution on trade response ahead of NATO summit with Trump

By Aydan Alasgarli
May 8, 2025 11:30 Updated 24d ago
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Reuters

European capitals are advising the European Commission to delay any major responses to U.S. trade tariffs until after the NATO summit in June, as leaders prioritize securing a consensus with Donald Trump on the future of Europe’s defense responsibilities.

EU governments are calling on Brussels to delay any retaliatory action against U.S. trade tariffs ahead of next month’s NATO summit, emphasizing the importance of focusing on long-term security cooperation with Washington.

According to diplomats cited by the Financial Times, several member states have urged the European Commission to postpone key decisions related to the U.S. - particularly in defense procurement and trade - until after the NATO summit on June 24-25 in The Hague. The goal is to avoid actions that might complicate negotiations with U.S. President Donald Trump.

European officials have also suggested scaling back the NATO summit to a two-day format and minimizing high-stakes discussions between leaders, in an effort to ensure a smooth and focused dialogue. Concerns persist over the possibility of intense exchanges, as seen during the 2018 NATO summit, when Trump advocated for higher defense contributions and raised questions about the alliance's dynamics.

Trump has proposed that European allies commit to spending 5% of their GDP on defense and take on greater responsibility for the continent’s security, shifting away from long-standing U.S. support. Discussions between European leaders and NATO Secretary-General Mark Rutte are ongoing to present a united and constructive position that could align with U.S. expectations.

In parallel, European officials are advising the Commission to avoid public debate over potential trade retaliation, delay procurement decisions involving U.S. and EU options, and refrain from statements that could be interpreted as criticism of Washington’s international posture.

Trump has implemented tariffs of up to 25% on EU steel, aluminum, and cars, with a temporary suspension on plans to double those rates pending talks. EU officials have indicated that if negotiations do not lead to a balanced agreement, the bloc is prepared to respond with its own trade measures.

U.S. officials have informed allies that Trump's participation in the summit may depend on prior consensus among the 31 NATO members to increase defense spending and assume more responsibility. NATO is currently preparing a comprehensive study on members’ defense capabilities and identifying areas where the U.S. could gradually reduce its presence without affecting European security.

European estimates suggest that with average defense spending moving toward 4%, and a roadmap for more autonomous European defense, a 5-to-10-year transition period could be realistic.

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