French President Emmanuel Macron criticized the trade agreement reached by the European Union and the United States of America.
“To be free, you have to be afraid. We weren’t afraid enough,” he told ministers, French officials said.
Although the agreement offers more “visibility” to French companies, Macron said it was only the first step and that negotiations would continue.
“It is now more important than ever to accelerate the European agenda of sovereignty and competitiveness,” Macron said, according to Reuters.
Paraphrased Version:
After months of tension and rising rhetoric, a new EU-US trade agreement has been reached. Under the terms, the US will impose a 15% tariff on most European imports—including vehicles, pharmaceuticals, and semiconductors. While higher than the previous 10% rate in place since April, it is still far below the 30% tariff President Trump had recently threatened. A 50% tariff on steel and aluminum remains, with more talks expected in those sectors.
In exchange, the EU has agreed to scrap certain sector-specific tariffs, notably the 10% duty on US-made cars. The EU also committed to significantly increasing its purchases of US natural gas—valued at $750 billion by 2028—and to buy an unspecified quantity of American military equipment. Additionally, the EU plans to boost its total investment in the US by $600 billion.
The agreement has drawn strong criticism within Europe, where many see it as a capitulation to Trump’s pressure tactics and a sign of EU weakness. While that perception persists, the situation is more nuanced.
It’s undeniably a setback for the EU, especially when compared to a recent past of zero tariffs. However, it’s still preferable to the alternative: a full-blown trade war and 30% tariffs. The deal also compares unfavorably to the UK’s 10% tariff agreement, though the UK’s trade deficit with the US made it a less contentious partner.
For Trump, securing a deal with the EU was a political and strategic priority. The final terms largely align with American interests and leave the impression that the EU was strong-armed into concessions—an impression reinforced by the tone of the joint announcement from Trump and Commission President Ursula von der Leyen.
More broadly, the US has used its dominant global position to pressure trade partners like the EU into accepting less favorable terms. This approach raises broader concerns about the fairness of international trade, the reliability of the global economic system, and the trustworthiness of the US as a long-term partner.
