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GERMAN CHANCELLOR PROPOSES SCRAPPING ALL EU-US TRADE TARIFFS IN BID TO EASE TENSIONS

Image: Screenshot at Bundestagswahl (cropped by LennBr) – CC BY-SA 4.0, (Wikipedia)

By Staff Writer with Agencies

Brussels, May 9, 2025 – German Chancellor Friedrich Merz has called for the complete elimination of trade tariffs between the European Union and the United States, urging a reset in transatlantic economic relations amid ongoing disputes.

Speaking at a joint press conference with EU Council President Antonio Costa in Brussels on Friday, Merz revealed that he discussed the idea directly with U.S. President Donald Trump during a phone conversation on Thursday evening.

“I told him that escalating this tariff dispute is not a good idea. The best solution would be bringing tariffs down to zero for everything,” Merz said. He noted that President Trump responded positively and extended an invitation for Merz to visit Washington for further talks, which are expected to take place shortly.

According to Merz, there are signs that the U.S. administration is beginning to recognize the domestic economic damage caused by high tariffs. “My impression is that in America, there is now growing awareness about the negative effects of high tariffs on their economy, and he is certainly aware of this,” he said. “Such a tariff dispute can only harm all of us and ultimately benefit no one.”

During the call, Merz also congratulated Trump on his administration’s successful trade deal with the United Kingdom. However, he emphasized the importance of negotiating with the European Union as a single bloc rather than attempting separate agreements with individual member states.

“This is a good path,” Merz said, referring to the UK deal, “but I also explained to him that this cannot be done with other individual European states that are members of the European Union. We can and want to act only jointly in trade policy. I had the impression that he accepts this.”

The proposal to remove all trade tariffs could mark a significant turning point in transatlantic trade policy, which has been marred by years of disputes over steel, aluminum, agriculture, and digital taxation. Merz’s initiative aims to rebuild trust and promote economic cooperation as both regions navigate post-pandemic recovery and rising global competition.

EU officials have not confirmed whether a formal proposal is on the agenda, but Costa expressed openness to renewed dialogue with Washington under “mutually respectful terms.”

Merz’s upcoming visit to the U.S. could pave the way for a broader rethinking of transatlantic trade relations, as both sides face growing economic and geopolitical pressures.

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