No reason to cheer

Trade deal between the USA and the EU: VBKI President Markus Voigt comments

From a European perspective, the so-called trade deal between the USA and the EU is the lesser of two evils. Although the threatened worst-case scenario of tariffs of 30% or an open trade war could be averted, there is no reason to celebrate. The basic tariff rate of 15 percent that has now been agreed represents a massive deterioration compared to the previous trade regime. Many Berlin companies, such as the pharmaceutical industry, which is very important in the capital, are also likely to feel the effects of the distortions.

In Berlin in particular, where a growing number of SMEs operate internationally, start-ups want to scale up globally and many industries rely on transatlantic supply chains, many questions remain unanswered in light of this agreement. This includes, not least, the planning security that has supposedly been achieved: given Donald Trump's volatility, who can say how sustainable and resilient the agreements reached are? 

And the lessons learned? If international negotiations are no longer based on common rules but follow an imposed carpetbagger logic, Europe must focus on its strengths. As the largest single market in the world, the EU has enormous market power. It is time to actively assert this - with one voice and more self-confidently than in the negotiations with the Trump administration. 

What is also needed - and not just in the area of trade - is greater risk diversification: less dependence on individual partners, more cooperation with players worldwide - whether in South East Asia, Latin America or Africa. Values such as reliability and predictability are likely to become more important in an increasingly uncertain world - the EU, Germany and, not least, Berlin companies can benefit from this.

Excerpts of this statement were published in the Berliner Morgenpost on July 29, 2025.