Merz and Trump: Dangerous wire war in the trade dispute!

Friedrich Merz navigates the trade conflict with Trump. Communication dynamics and their influence on transatlantic relationships.
Friedrich Merz navigates the trade conflict with Trump. Communication dynamics and their influence on transatlantic relationships. (Symbolbild/NAG)

Merz and Trump: Dangerous wire war in the trade dispute!

Friedrich Merz, the new Chancellor in Germany, faces the challenge of showing steadfastness in the trade dispute with the USA, while at the same time trying not to annoy Donald Trump. According to the Süddeutsche Zeitung , Merz has established close contact with Trump in less than three weeks, which is in a large number of phone calls and short communications between the two marked. However, the effectiveness of this communication is questioned in the Berlin Chancellery.

The worries about Trump are great. There is fear that he could ignore agreements, as it happened, for example, in the case of Ukraine. In the context of the international security architecture and the global economic order, it turns out that Trump's behavior towards allies and autocrats is viewed critically. In this tense situation, Merz plans to invite Trump to Germany. This invitation was made after a 30-minute conversation, as reported by the news agency dpa from government circles.

planned visits and summit meetings

Trump has signaled that he can imagine a visit to Germany. So far, as President, he was only for the G20 summit in 2017 in Germany and at stopover at the Ramstein base. In his part, Trump invited Trump to Washington. Merz said that he would like to travel to the United States before the G7 and NATO peaks in June, within the next six weeks. The G7 summit takes place in Canada in mid-June, while the NATO summit will be held in the Hague shortly afterwards, which underlines the urgency of Merz 'plans.

The current political situation is made more difficult by Trump's impending office as US President in 2025. Trump, who emerged from the presidential election as a clear winner, could have a significant impact on transatlantic economic relationships. Germany and the EU have to expect a phase of uncertainty and tensions in the USA. Rising food prices, lack of affordable living space and high health costs have contributed to dissatisfaction in the United States, which Trump skillfully exploited in the election campaign.

risks for the German economy

according to Deutschlandfunk could trump a protectionist policy that carries risks for German companies in particular. His plans for the questioning of the world trade order and possible customs measures concern special concerns. Trump has already indicated a flat rate of 10 to 20 percent that could be enforced by one side. These tariffs would hit German exporters hard because many German export goods have unique selling points, the access of which may be more difficult.

In addition, Trump's demand for high import duties of up to 60 percent on Chinese products could have indirect effects on the German market by strengthening China its presence on the European market. Political and economic uncertainty means that companies in Germany should review their trade relationships with the USA and possibly build production facilities there. In the long term, there is the possibility that Trump's customs threats could affect the US economy by about 1.4 percent.

In view of these challenges, experts recommend that Europe strengthen and harmonize the internal market in order to react to Trump's possible second term. The implementation of the capital market union is considered a central step to secure competitiveness and to offer German companies a future -oriented strategy. The financial markets react positively to Trump's return, which shows in rising returns, a stable dollar and positive impulses for US stock indices. Bitcoin reached a new record high, while European stock exchanges started optimistically into the new year.

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OrtBerlin, Deutschland
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