German waiting Prime Minister Friedrich Merz said Donald Trump’s tariff policies increased the risk of a financial crisis, advocating for a US-European free trade agreement, and taking up ideas that elicited hostile reactions from the US president.
“Yes, I want a new cross-sectional free trade agreement,” Handelsblatt said Merz.Interview.“All tariffs are zero. That would be better for both sides.”
The European Union proposes mutual “zero-zero” tariffs on industrial products to the United States. Trump told reporters on Monday that the proposal was not sufficient, suggesting that Europe should offset them by purchasing energy from us.
If the US decides to step down from global trade altogether, Europe will have to concentrate on non-US markets, Mertz said.
read more:The EU competes to expand its 2 trillion euro trade club as the US joins sour links
Meltz, who once led the central right Christian Democratic Union Party, led by Angela Merkel, reached a policy deal this week to establish the Social Democrats and the next German government. Legislators are poised to electHis prime ministerIn May.
“President Trump’s policies increase the risk that the next financial crisis will be hit faster than expected,” Meltz told Handelsblatt. “We Europeans need to come up with a compelling response.”
This story was originally featured on Fortune.com.
