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Germany's Merz urges quick US tariff deal with deadline days away
Published by Global Banking & Finance Review®
Posted on July 3, 2025
2 min readLast updated: January 23, 2026
Global Banking & Finance Review®
Company
Published by Global Banking & Finance Review®
Posted on July 3, 2025
2 min readLast updated: January 23, 2026
Chancellor Merz urges the EU to quickly settle a tariff dispute with the US before the July 9 deadline to protect key industries.
By Andreas Rinke and Matthias Williams
BERLIN (Reuters) -German Chancellor Friedrich Merz urged the European Union on Thursday to settle a tariff dispute with the United States as quickly as possible to protect core industries such as cars, steel and pharmaceuticals.
Speaking at a banking event, Merz said Europe had to face the prospect of the United States weakening its commitment to Europe and that there were justified doubts over whether the two sides would continue to share common interests in the long term.
Merz's comments underscore the urgency for a tariff deal before a July 9 deadline, when U.S. President Donald Trump has threatened to raise tariffs to as much as 50%, hammering European companies including in Germany, an export powerhouse.
"We will, I will, do everything to keep the United States of America on our side. But we must also prepare ourselves for the fact that at least America's commitment to Europe and in Europe will diminish," Merz said.
"A quick result must be reached. Better quick and simple than lengthy and complicated, and still under negotiation for months," he added.
Since becoming chancellor this year, Merz has pushed for Europe to build up its own ability to counter external threats without having to rely on Washington.
"And no one should have the slightest doubt about our determination," Merz said.
"Even if doubts grow, for example, as to whether we share common interests with the United States of America in the long term. Yes, the doubts are there, and they may even be justified."
The EU wants immediate relief from tariffs in key sectors as part of any trade deal with the U.S., but the bloc expects even a best-case deal to include a degree of asymmetry, EU diplomats told Reuters this week.
(Reporting by Andreas Rinke and Matthias WilliamsEditing by Madeline Chambers and Kate Mayberry)
Chancellor Merz emphasized the urgency of reaching a tariff deal with the US before the July 9 deadline to protect core European industries.
Merz expressed concerns that the US commitment to Europe might weaken, leading to justified doubts about shared long-term interests.
The EU seeks immediate relief from tariffs in key sectors as part of any trade deal with the US, expecting some level of asymmetry in the agreement.
Merz advocates for a quick and straightforward resolution, stating that it is better to reach a simple agreement quickly than to engage in prolonged negotiations.
Since becoming Chancellor, Merz has pushed for Europe to enhance its own capabilities to counter external threats without relying solely on Washington.
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