(MENAFN)
European Commission President Ursula von der Leyen has warned that relations between the European Union and the United States may never return to their former state, citing recent trade tensions sparked by U.S. tariffs on European products.

Speaking at an economic forum in Rome on Thursday, von der Leyen noted that while the EU prefers free trade and views tariffs as damaging for all sides, it must also be realistic. “The relationship with the US may never go back to what it used to be,” she said.

In February, U.S. President Donald Trump imposed 20% tariffs on European imports, prompting retaliatory measures from Brussels. While those duties were later reduced to 10% pending further negotiations, the pause in escalation has only been extended until early August.

Von der Leyen emphasized the importance of stabilizing trade ties with Washington, which she described as the EU’s top trading and investment partner. According to Eurostat, the U.S. was the EU’s largest exporter and second-largest import partner in 2024.

Trump’s wider trade policy now targets over 200 countries, aimed at shrinking the U.S. trade deficit and bolstering domestic industry. Alongside tariffs, Trump has also pressured NATO allies to increase defense spending. While NATO members agreed in February to spend 2% of their GDP on defense, Trump has pushed for a 5% threshold, warning that non-compliant countries wouldn’t receive U.S. military support.

NATO Secretary-General Mark Rutte backed Trump’s call, and in June, the alliance officially adopted the 5% spending goal, arguing it was necessary to counter a potential threat from Russia.

However, not all European leaders agreed. Spanish Prime Minister Pedro Sanchez criticized the increase as “unreasonable,” prompting Trump to threaten harsher trade penalties in response.

Meanwhile, Russian officials dismissed claims of a possible attack on NATO as baseless. President Vladimir Putin reiterated that Russia's actions in Ukraine are defensive and accused Western leaders of using fear to justify growing military budgets and aid to Kiev.

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