Overview

• President Trump unveiled a 'reciprocal tariffs' framework, aiming to impose higher duties on nations with significant trade surpluses with the U.S., including Germany.
• German exporters in machinery, automotive, chemical, and pharmaceutical sectors face potential disruptions, with Volkswagen exploring U.S. production to mitigate tariff impacts.
• The European Union, led by Ursula von der Leyen, is preparing coordinated countermeasures while cautioning against escalating trade tensions.
• Chinese state media frames U.S. tariffs as harmful to American consumers and positions China as a stable trade partner, while Beijing adjusts policies to counter U.S. actions.
• German municipalities brace for reduced corporate tax revenues due to anticipated profit declines, threatening local investment and infrastructure projects.