German Government Opposes Boycott of US Products

Germany Opposes US Product Boycott, Seeks Better Trade Relations

BERLIN (Reuters) - Germany's government rejected on Wednesday calls for a boycott of U.S. goods despite disagreements over tariffs, saying Europe's biggest economy wanted to foster good trade relations.

European Union officials are trying to ease tensions with the United States and prevent a trade war as U.S. President Donald Trump embarks on a tariff offensive that could lead to retaliatory measures.

"The German government is interested in good relations and also good trade relations with the United States. We are doing everything we can to achieve this," government spokesperson Steffen Hebestreit told reporters.

"We don't need more trade barriers, we need fewer," he said, adding: "In this respect, we do not agree with such demands."

The comment echoes a warning from the head of Germany's BGA association representing importers and exporters who said a boycott of U.S. products would be a "false response" to political disagreements which could stoke a cycle of reprisals.

"We shouldn't bring an already complex situation further to a head. Rather than get embroiled in boycotts, tariffs and counter-tariffs, we should seek dialogue with the United States over the transatlantic trade questions of the future," said BGA president Dirk Jandura.

Germany's trade surplus with the U.S. reached a record level of 70 billion euros ($75.49 billion) last year, statistics office data showed.

However, cooling relations in trade and security between the United States and its traditional European allies has prompted some calls in Europe to replace U.S. products with home-made brands, following similar moves in Canada.

A forum on social media website Reddit called "BuyFromEU" has attracted 189,000 members to discuss alternatives to U.S. brands.

U.S. carmaker Tesla's market share continued to shrink in Europe last month. It has been hit by increased competition and Europe's economic slowdown but also by the support of CEO Elon Musk, an adviser to the Trump administration, for far-right parties in Europe, including in Germany.

German Finance Minister Joerg Kukies travels to the United States this week for talks with his U.S. counterpart as well as with the International Monetary Fund and World Bank.

($1 = 0.9273 euros)

(Reporting by Rene Wagner and Andreas Rinke; Writing by Ludwig Burger and Madeline Chambers; Editing by Gareth Jones)