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    Home > Headlines > Tariffs and conflicts loom large over Merz and Macron's working dinner
    Headlines

    Tariffs and conflicts loom large over Merz and Macron's working dinner

    Published by Global Banking & Finance Review®

    Posted on July 23, 2025

    2 min read

    Last updated: January 22, 2026

    Tariffs and conflicts loom large over Merz and Macron's working dinner - Headlines news and analysis from Global Banking & Finance Review
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    Tags:AppointmentPresidentEuropean economiesfinancial community

    Quick Summary

    Merz and Macron's Berlin dinner focuses on US tariffs, Ukraine support, and European defense, highlighting key European diplomatic issues.

    Table of Contents

    • Key Topics of Discussion
    • Impact of U.S. Tariffs
    • FCAS Fighter Jet Project

    Tariffs and conflicts loom large over Merz and Macron's working dinner

    Key Topics of Discussion

    BERLIN (Reuters) -German Chancellor Friedrich Merz will host French President Emmanuel Macron for talks over dinner in Berlin on Wednesday, with Europe's battle to soften incoming U.S. tariffs and support for Ukraine expected to top a packed agenda.

    The meeting, taking place at Villa Borsig in the German capital's leafy outskirts, brings together the leaders of Europe's two largest economies as trade negotiations approach President Donald Trump's August 1 deadline.

    "Of course, the question of how we react to the threat of tariffs on August 1 is a central focus, and also the security situation in Ukraine," Merz's chief of staff, Thorsten Frei, told the ZDF broadcaster.

    Impact of U.S. Tariffs

    "The fact that the agenda is so full shows that the relationship between Germany and France is not only good but extremely important," Frei said, adding that a number of other topics would be discussed.

    Conservative Merz has courted a more unified front with France on a range of issues, from European defence to diplomacy with Iran, and criticised his predecessor Olaf Scholz for neglecting Germany's relations with its neighbour.

    However, sticking points remain.

    Germany's signature was missing from a letter signed by France and 27 other Western countries calling on Israel to immediately end the war.

    Merz has been increasingly critical of Israel but his chief of staff said the letter was not clear enough that Hamas's October 7, 2023 attacks had triggered the conflict.

    FCAS Fighter Jet Project

    Merz and Macron are also expected to discuss the FCAS Franco-German-Spanish fighter jet project, whose future has been called into question amid a growing feud with Europe's Airbus over control of the program.

    (Reporting by Rachel MoreEditing by Alexandra Hudson)

    Key Takeaways

    • •Merz and Macron discuss US tariffs and Ukraine support.
    • •The meeting highlights Germany-France relations.
    • •FCAS fighter jet project is a key agenda item.
    • •Merz criticizes lack of German support for Israel letter.
    • •Trade negotiations with US are a central concern.

    Frequently Asked Questions about Tariffs and conflicts loom large over Merz and Macron's working dinner

    1What is the main focus of the dinner between Merz and Macron?

    The main focus of the dinner is to discuss the threat of U.S. tariffs and the security situation in Ukraine.

    2What topics are expected to be discussed during the meeting?

    In addition to U.S. tariffs and security, the leaders will discuss European defense, diplomacy with Iran, and the FCAS fighter jet project.

    3Why is Germany's signature missing from the letter regarding Israel?

    Germany's signature was absent because Merz's chief of staff stated the letter was not clear enough about the context of Hamas's attacks triggering the conflict.

    4How does Merz view the relationship between Germany and France?

    Merz views the relationship as extremely important, emphasizing a unified front on various issues.

    5What is the significance of the FCAS project in the discussions?

    The FCAS project is significant as its future is in question due to a growing feud with Airbus over control of the project.

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