Prime Minister Luc Frieden on Monday spoke to RTL about the latest developments in the looming US trade wars after an informal EU meeting in Brussels. Frieden classifies the back and forth between the US and its direct neighbours as a “typical” example of President Trump using the threat of tariffs as a “negotiation tactic” to coerce Mexico and Canada into doing his bidding.
The PM said that one should not be fooled by this approach, but simultaneously warned that trade barriers nevertheless warrant a reaction. He underlined the EU’s strong resolve to counter the move while arguing that it is not the bloc’s intention to create an adversarial relationship with a NATO ally. We are a continent in favour of free but fair trade, Frieden stated after an hour-long talk with NATO Secretary General Mark Rutte.
If the EU is to effectively stand up to Trump’s threats, then it needs to massively increase investment in its own defence manufacturing, according to Frieden. However, he acknowledged that this is a challenging endeavour given the logistical barriers of replacing the American operating systems that many European countries currently use.
Over the coming months, EU and NATO officials are set to devise a plan on how to tackle these challenges, which in many cases is expected to boil down to the question of how much every member state has to contribute.
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