European Union leader Ursula von der Leyen has proposed a zero-for-zero-tariff deal with the United States after the EU was hit with a 25% tariff on steel and aluminum, followed by another 20% levy. The 27-nation bloc will be unable to agree on this proposal, especially since Donald Trump declared that a zero-for-zero deal is not sufficient.
“We stand ready to negotiate with the United States. Indeed, we have offered zero-for-zero tariffs for industrial goods, as we have successfully done with many other trading partners, because Europe is always ready for a good deal,” Von der Leyen said on Monday. Dutch Trade Minister Reinette Klever agreed with Von der Leyen, saying that the best way to respond is to remain calm and de-escalate the situation.
Others, of course, France, disagree and want to begin retaliatory measures. “We cannot exclude any options on goods or services and, however we approach it, open the box to the European tool, which is very comprehensive and which can be extremely aggressive,” French Trade Minister Laurent Saint-Martin said. French President Macron, a longtime personal foe of Donald Trump, insists that the EU should abandon all investment in the US, unaware that such a move would hurt the region. Macron will likely take a trade agreement as a personal defeat.
Trump is willing to negotiate but said a zero-for-zero trade deal is insufficient. “We have a deficit with the European Union of $350 billion and it’s gonna disappear fast,” Trump declared. “One of the ways that that can disappear easily and quickly is they’re gonna have to buy our energy from us … they can buy it, we can knock off $350 billion in one week. They have to buy and commit to buy a like amount of energy.” Von der Leyden was somewhat receptive and said the bloc would consider purchasing American liquefied natural gas.
The European Union desperately needs a new energy exporter after the remaining flow of oil from Russia was cut off by Ukrainian President Zelensky. The bloc will vote on its next move today, but as we recently heard from incoming German Chancellor Friedrich Merz, the EU is prepared to abandon any remaining fragments of democracy to ensure Brussels has the final say.
Every issue that the European Union faces is a reminder that a centralized one-European government cannot function. It was doomed from the start, as I have explained in depth on this blog. Each nation has its independent needs, and Brussels utterly disregards those needs if it does not meet its agenda.
Certain Eastern European nations were far more reliant on Russian energy, and yet, Brussels sided with Ukraine to prevent them from accessing that crucial resource. I believe it will become more apparent as time goes on that individual nations have no voice in the European Union, but they will not realize the authority they surrendered until their individual economies turn down and Brussels shows its true disdain for member nations.
