German government spokesperson says Germany assumes future U.S. tariffs on EU products will not exceed tariff agreement struck in 2025

German government spokesperson says Germany assumes future U.S. tariffs on EU products will not exceed tariff agreement struck in 2025

German Government Assures Compliance with 2025 U.S.-EU Tariff Framework Amid Trade Uncertainty

The German government has stated that it assumes future U.S. tariffs on European Union (EU) products will adhere to the reciprocal 15% cap agreed upon in the August 2025 U.S.-EU Framework Agreement. This assurance comes amid ongoing legal and political developments in the U.S., including a February 2026 Supreme Court ruling that declared certain tariffs unlawful under the International Emergency Economic Powers Act (IEEPA).

The 2025 agreement established a baseline of 15% for U.S. tariffs on EU exports, with exceptions for strategic goods such as steel, aluminum, and aircraft parts according to the framework agreement. The EU, in turn, committed to eliminating tariffs on U.S. industrial goods and providing preferential access for agricultural products. For Germany, a key EU exporter, the agreement aimed to mitigate trade tensions that had previously constrained growth. The European Commission's economic forecast projects 1.2% GDP growth for Germany in 2026 and 2027, partly supported by reduced trade uncertainties.

However, recent U.S. actions have introduced volatility. Following the Supreme Court's February 2026 decision, President Donald Trump announced additional tariffs, including a proposed 10% surcharge on EU imports. While the German government expressed confidence that these measures would not exceed the agreed 15% cap, it acknowledged the risk of retaliatory EU tariffs if U.S. actions violate the framework. The EU has previously signaled readiness to reinstate suspended tariffs on U.S. goods, such as Harley-Davidson motorcycles and bourbon, if necessary.

The German economy remains vulnerable to trade disruptions, as exports account for roughly one-third of its GDP. The European Commission's forecast highlights that tariffs and geopolitical uncertainty could weigh on investment and export growth in 2025. Meanwhile, the U.S.-EU agreement includes provisions to address non-tariff barriers and streamline standards for automobiles and agricultural products, which could offset some pressures.

German officials emphasized the importance of maintaining the 2025 framework to avoid destabilizing transatlantic trade. However, with U.S. tariff policies subject to legal and political shifts, businesses and investors are advised to monitor developments closely. The outcome of ongoing negotiations and the EU's response to potential U.S. overreach will remain critical for Germany's economic outlook.