The recent meeting between French President Emmanuel Macron and U.S. President Donald Trump at the White House has spotlighted the heightened tensions over potential trade wars, particularly with China and Europe. During this visit, Macron made clear his position, urging Trump to reconsider his planned tariffs on European exports.
Since the start of Trump's second term, he has frequently announced new tariffs on imports to the U.S., including steel and aluminum, targeting China primarily, but with delays announced for Canada and Mexico. Macron emphasized during his visit the importance of fair competition among industries across the Atlantic. "Our desire is to have fair, equitable competition between our industries and more fluid exchanges or more investments across the Atlantic," he stated during their joint press conference at the White House, as reported by AFP.
Trump has repeatedly accused European nations of unfair trade practices, arguing they export more to the U.S. than they receive. He has criticized the value-added tax (VAT) charged by European countries, which he refers to as effectively acting as additional tariffs on American products. Macron fought back against these claims, asserting, "VAT (20% in France) is not a customs duty," and stressing the necessity to avoid increasing tariffs at this juncture.
Reflecting on the stakes involved, Macron laid out the urgency for increased defense and security spending among allies, cautioning, "It is not the moment to increase tariffs. Why? Because the urgency is to increase our defense and security spending. How do you want to do this if we are at trade war?" This sentiment encapsulates the broader concern among NATO allies as geopolitical tensions rise, particularly relating to the conflict in Ukraine.
During the discussions, significant attention was also drawn to the war in Ukraine, marking three years since the onset of Russian aggression. Macron conveyed to Trump the impracticality of pursuing simultaneous trade wars against both China and Europe. "I told him he cannot wage a trade war against both China and Europe at the same time," Macron mentioned, reinforcing the message during his interview with Fox News.
The meeting was not just about trade. It also highlighted the importance of maintaining the long-standing transatlantic relationship. U.S. Treasury Secretary Scott Bessent underscored this during his meeting with French Finance Minister Eric Lombard, asserting the need for continued cooperation and dialogue. "It's important to continue the long relationship between France and the U.S.," he remarked, emphasizing the allies' interconnected goals.
Yet, Trump's tariff threats loom large, especially against neighboring Canada and Mexico. During the press conference with Macron, Trump reiterated his plans to impose tariffs according to the previously established timeline. These tariffs, initially set at 25% on all products from these two countries, were suspended briefly by Trump earlier this February, just hours before they were to take effect, allowing for 30 additional days to reach agreements.
Canadian Foreign Minister Melanie Joly expressed her concerns about the volatility of the situation, stating, "We must be able to cope with the unpredictability of President Trump," underlining the reality of the trade climate and cautioning about the persistent risk posed by tariffs. She also noted receiving positive feedback from U.S. officials about Canada's efforts to address U.S. requests for enhanced border security.
Time will tell if Macron's diplomatic overtures will yield results with Trump as tensions between global powers continue to flare. The outcome of this meeting may have lasting impacts on EU-U.S. relations as both sides navigate the complex waters of international trade amid pressing global security concerns.