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The president of the European Commission intervened with an article on Sunday in several European newspapers, including the Italian IlSole24ore and the German Frankfurter Allgemeine Zeitung, which indirectly provides a response to the criticism of the EU’s “absence” on duties and wars made by former ECB chief and Italian PM Mario Draghi on Friday.
“Much has been written about this agreement, considerations that deserve a direct response,” von der Leyen argued in the Italian newspaper, “imagine for a moment if the two largest economies in the democratic world had failed to reach an agreement and had started a trade war. This would have been celebrated only in Moscow and Beijing”.
Regarding the 15 per cent cap on US tariffs on a range of products – from cars to pharmaceuticals, from semiconductors to timber – the Commission leader spoke of a “good, if not perfect agreement”, while recalling how tariffs are “taxes that burden consumers and businesses”, increasing “costs, reduce choice and undermine the competitiveness of economies”.
Flurry of trade agreements
The agreement with the Trump administration also grants other trade guarantees to Europe, continued von der Leyen, who assured however how the EU is seeking to diversify its export markets.
“We have recently concluded trade agreements with Mexico and Mercosur and deepened relations with Switzerland and the UK. And we have concluded our talks with Indonesia and aim to reach an agreement with India by the end of the year”, wrote the president.
In conclusion, von der Leyen called for a “strong and independent” Europe, urging it to “complete the single market” and “strengthen competitiveness and sustainability”.
For his part, Mario Draghi had warned at the annual Rimini Meeting, a major event in the Italian political calendar, on Friday: “For years, the European Union believed that its economic size, with 450 million consumers, brought with it geopolitical power and influence in international trade relations. This year will be remembered as the year in which this illusion evaporated,”
Last year, Draghi presented a report with ideas to ramp up the EU’s economic growth, underlining the necessity to adapt if the bloc is to survive.
