Finance
EU trade deal will take a toll on German economy, minister says
Published by Global Banking and Finance Review
Posted on July 30, 2025
1 min readLast updated: January 22, 2026
Global Banking and Finance Review
Company
Published by Global Banking and Finance Review
Posted on July 30, 2025
1 min readLast updated: January 22, 2026
German Finance Minister Lars Klingbeil criticizes the EU-US trade deal, citing potential negative impacts on Germany's economic growth.
BERLIN (Reuters) -German Finance Minister Lars Klingbeil is dissatisfied with the European Union's trade deal with the United States, as he thinks it will take a toll on Germany' economic growth, he said on Wednesday.
"I have no illusions about it, it is rather growth-weakening," Klingbeil said in the presentation of the 2026 draft budget, lamenting that the EU was "too weak" in the negotiations.
The U.S. struck a framework trade agreement with the EU on Sunday, imposing a 15% import tariff on most EU goods.
"I would have wished for a different outcome," Klingbeil said. "Still, all in all, it is good that there is an agreement with the U.S., that there are no further escalations."
(Reporting by Maria Martinez, Editing by Rachel More)
Lars Klingbeil is dissatisfied with the EU's trade deal with the US, believing it will negatively impact Germany's economic growth.
The US imposed a 15% import tariff on most EU goods as part of the trade agreement.
Klingbeil lamented that the EU was 'too weak' in the negotiations and wished for a different outcome.
Despite his concerns, Klingbeil acknowledged that having an agreement with the US is better than facing further escalations.
Klingbeil made these comments during the presentation of the 2026 draft budget.
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