EU-US Trade Deal Ultimately Not In America's Interests

2025-07-30 09:01:43

(MENAFN- Asia Times) European complaints about the trade agreement they just signed with the United States are almost universal. But will the tariffs America has imposed on half the world be effective? The issue is highly controversial, and the consensus is that they possibly won't be.

Clearly, they are a US gamble to fix its economy and signal both domestically and internationally its determination to do so. Once that decision was made, what can a weak and divided EU practically do?

Perhaps the real point of the US-EU trade deal is that it came immediately after China and the EU failed to reach a similar agreement. Despite decades of different rhetoric, transatlantic ties are stronger than those linking Eurasia.

However, the true twist may be different. The deal is being presented as a US victory and an EU loss. This narrative alone can sour and weaken a bond that has been the anchor of international stability for over a century.

France's Prime Minister, François Bayrou, called the European Union's trade deal with America a“dark day” for the bloc. Germany's Chancellor, Friedrich Merz, said the accord would“substantially damage” his country's economy.

At the FT, Martin Wolf argued:“The economic paradigm has been fundamentally altered. Is this new arrangement stable? Or is much more craziness ahead? When it becomes obvious that US trade deficits are not shrinking, what will US President Donald Trump do? How will this affect global relations?”

MENAFN30072025000159011032ID1109865542

Legal Disclaimer:
MENAFN provides the information “as is” without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the provider above.