Merz warns Trump’s tariff threat would hit German exports “to the core”

German Chancellor Friedrich Merz has warned that US President Donald Trump’s threat to impose 30% tariffs on European exports would deal a devastating blow to Germany’s economy if a diplomatic solution is not reached in the coming weeks.

In a televised interview with ARD on July 13, Merz said the proposed tariffs would strike “to the core” of Europe’s largest export-driven economy, possibly forcing Berlin to delay parts of its domestic economic agenda, Caliber.Az reports via foreign media.

“That would overshadow everything, and hit the German export industry to the core,” Merz stated, underlining the gravity of the threat.

The warning comes as the European Union agreed to extend its suspension of retaliatory trade measures against Washington until August 1, allowing more time for negotiations after Trump raised the possibility of punitive duties targeting both the EU and Mexico over the weekend.

Merz, a conservative leader who recently assumed the chancellorship, said he is coordinating closely with other European heads of state to avoid a full-blown trade conflict. “That requires two things: unity in the European Union and good lines of communication with the American president,” he emphasised.

In response to a question about whether Germany would support reciprocal counter-tariffs, Merz said: “Yes, but not before Aug. 1.” He noted ongoing discussions with French President Emmanuel Macron and European Commission President Ursula von der Leyen, as well as a direct phone call with Trump on July 11.

“We want to use this time now, these two and a half weeks until Aug. to find a solution,” Merz said. “I am really committed to this.”

By Vugar Khalilov