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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 read

· Last updated: January 23, 2026

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Germany's Merz urges quick US tariff deal with deadline days away
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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

Chancellor Merz Calls for Urgent US Tariff Agreement Ahead of Deadline

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)

Key Takeaways

  • Chancellor Merz calls for a quick US tariff agreement.
  • The deadline for the tariff deal is July 9.
  • US tariffs could rise to 50%, impacting EU industries.
  • Merz emphasizes Europe's need for self-reliance.
  • EU seeks immediate tariff relief in key sectors.

Frequently Asked Questions

What did Chancellor Merz emphasize regarding the US tariff deal?
Chancellor Merz emphasized the urgency of reaching a tariff deal with the US before the July 9 deadline to protect core European industries.
What concerns did Merz express about the US commitment to Europe?
Merz expressed concerns that the US commitment to Europe might weaken, leading to justified doubts about shared long-term interests.
What is the EU's stance on tariffs in trade negotiations with the US?
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.
How does Merz propose to approach the negotiations with the US?
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.
What has been Merz's approach since becoming Chancellor?
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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