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Germany Concerned as US Slaps Tariffs on Mexico, Canada

by Agency Reports
3 February 2025
in Politics
Federal Chancellor Olaf Scholz wants to curb illegal migration by maintaining strict border controls. Credit: Britta Pedersen/dpa

Federal Chancellor Olaf Scholz wants to curb illegal migration by maintaining strict border controls. Credit: Britta Pedersen/dpa

Germany is very concerned about US tariffs on Mexico and Canada, a government spokeswoman said on Monday.

“Many German companies producing for the US market are present in both Mexico and Canada,” said a spokeswoman for the Economy Ministry, days after the US hit its neighbouring countries with 25% tariffs.

Any form of tariffs and a trade conflict must be avoided, she argued.

The German Chambers of Commerce Abroad estimates that some 2,100 German-backed businesses in Mexico are affected by US President Donald Trump’s move.

Germany is also troubled by the new US administration’s reported decision to shutter the United States Agency for International Development (USAID).

“A cancellation or a clear reduction in US development support would be a significant loss,” said a spokesman from the Development Ministry in Berlin. “Germany and the EU would not be able to fill this gap.”

According to reports in US media, hundreds of USAID employees have been dismissed or placed on leave in recent days, and dozens of managers have been let go with immediate effect.

The new government is reportedly considering placing the previously independent agency under the State Department or possibly dissolving it altogether.

(dpa)

Tags: Donald Trump NewsGermany NewsUnited States News

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