Von der Leyen: Trade war would have only benefited Moscow-Beijing

European Commission President Ursula von der Leyen has defended the recent trade agreement struck with US President Donald Trump, emphasising the importance of stability over confrontation in global economic relations.

Writing in a guest article for Germany’s Frankfurter Allgemeine Zeitung, von der Leyen described the deal as a “conscious decision – stability and predictability instead of escalation and confrontation.” She warned that a failure to reach an agreement between the two largest democratic economies would have risked triggering a full-blown trade war, which she said would have been welcomed only in “Moscow and Beijing,” Caliber.Az cites. 

The agreement was reached during a meeting between von der Leyen and Trump in Scotland at the end of July, shortly before Trump’s proposed 30 per cent tariffs were set to take effect on August 1. Under the new framework deal, US tariffs on most European goods will be capped at 15 per cent, including automobiles, which previously faced a 27.5 per cent duty. However, this remains a sharp increase from the 2.5 per cent rate that was in place before Trump took office.

Despite criticism that the US secured more favourable terms, von der Leyen defended the compromise as necessary to avoid economic damage. 

“With retaliatory tariffs on our part, we would risk fueling a costly trade war with negative consequences for our workers, consumers, and industry,” she wrote.

As part of the agreement, the EU has pledged to abolish all tariffs on US industrial goods and lift certain import barriers on American food products. In return, the bloc committed to purchasing $750 billion worth of US energy by the end of Trump’s term and investing an additional $600 billion into the US economy over the coming years.

However, the joint declaration remains non-binding, and EU officials remain cautious, fearing Trump may unilaterally increase tariffs again if he believes the deal is not being implemented to his satisfaction. The US rejected a proposal from the EU to mutually eliminate all industrial tariffs.

In response to the uncertainty surrounding US trade policy, von der Leyen also announced plans to further diversify the EU’s trade partnerships.

She highlighted recent deals with Mexico and the Mercosur bloc, as well as strengthened relations with Switzerland and the United Kingdom. Ongoing negotiations with Indonesia have been concluded, and the EU aims to finalise an agreement with India by the end of the year.

By Sabina Mammadli